Netherlands-based AkzaNobel says the inauguration of production facilities worth €18.5 million ($20.1 million) in the northern province of Bac Ninh will boost its position in Asia.
It will also sharpen its focus on sustainable manufacturing, the firm said in a Monday statement.
Five new powder coating lines have been added, along with a line for producing water-based products for the consumer electronics market.
The expansion work included a fully automated warehouse for the company’s consumer electronics items as well as installation of hi-tech equipment to deliver higher productivity rates and efficiency gains. This will contribute to AkzoNobel’s target of halving its carbon emissions by 2030, the firm said.
AkzoNobel, which entered Vietnam in 1995, operates four manufacturing facilities in Ho Chi Minh City and the provinces of Dong Nai, Binh Duong and Bac Ninh.
In February, Bac Ninh’s index of industrial production (IIP) fell 8.72% from January and 14.61% year-on-year, according to provincial data. Provincial authorities attributed the decrease to the lower global consumption amidst high inflation, the Russia-Ukraine conflict and the violence in Palestine. The province’s IIP fell 14.91% year-on-year in the first two months of 2024.
Despite the lower IIP, registered capital for foreign direct investment (FDI) projects in the province doubled year-on-year to $380 million.