Karcher, a German cleaning equipment manufacturer best known for high-pressure cleaning products, has broken ground for a workshop to serve the construction of its $21.8 million Vietnam plant.
Karcher and Indusvalley Chu Lai JSC, its construction partner for the $10 million workshop, co-held the groundbreaking ceremony on Wednesday at the construction site in the Tam Hiep Industrial Park, Chu Lai Open Economic Zone, Quang Nam province on Vietnam’s central coast.
The construction company plans to hand over the workshop in its first phase to Karcher Vietnam of the German manufacturer by August 31 this year.
The Karcher Vietnam cleaning equipment plant is expected to employ 300 workers in the first phase, and the investment of around $21.8 million is also for the initial stage. The facility is set to start production in January next year.
Karcher operates 17 production and logistics sites around the world, Indusvalley Chu Lai CEO Le Thi Nghia said, adding that by the end of 2021, the global provider of cleaning technology had more than 14,000 employees in 78 countries.
As for her company, she said it will build a series of pre-built or custom-designed workshops in Tam Hiep IP, with the size ranging from 1,500 square meters to 15,000 sq.m for Vietnamese and foreign investors to lease as factories.
Quang Nam is a key industrial province and manufacturing center in central Vietnam. Bordering it to the north is Danang city, the regional hub. Meanwhile, Quang Ngai province next to Quang Nam to the south is home to Dung Quat Refinery, Vietnam’s first oil refinery, with designed capacity of 6.5 million tons of crude oil annually, or 140,000 barrels per day.