Zhejiang Jasan Group Co., Ltd., listed on the Shanghai Stock Exchange (SSE) as 603558, will invest CNY550 million ($76.4 million) in the northern province of Nam Dinh.
In a Friday filing, the Chinese sportswear producer said the project was subject to approval by the firm’s shareholders and relevant authorities in China and Vietnam.
The investment aims to serve future orders and utilize Vietnam’s advantages of favorable global trade environment and preferential tax policies, it said.
The Nam Dinh project will have an annual capacity of 2,000 tons of spandex elastic thread, 18,000 tons of dyed yarns, and 65 million pairs of mid- and high-end cotton socks, said the company, which is a supplier to global sportswear brands such as Uniqlo, Adidas and Puma.
When operational, the project will employ 1,600 people, record estimated annual sales of CNY1.07 billion ($148.7 million) and operating profits of CNY149.8 million ($20.8 million).
Zhejiang Jasan Group already has three production bases in Vietnam – Hai Phong city, Hung Yen province and Thanh Hoa province. The one in Hai Phong is the firm’s biggest overseas facility and the first one in Vietnam, established in 2014.
Nam Dinh is a major textile-garment hub in Vietnam. Earlier this month, the province’s industrial parks management board granted an investment registration certificate for a $60 million project by Hong Kong-based Crystal Denim Textiles (BVI) Limited.
In August 2023, the province granted an investment licence to Singapore’s Sanbang PTE. Ltd. for a 10.3 hectare, $28.7 million project at the textile-specialized Aurora Industrial Park.