Tosoh, a Japanese chemicals and materials firm, plans to invest $172.6 million in building a methylene diphenyl isocyanate (MDI) factory in the southern province of Ba Ria-Vung Tau.
The firm delivered an investment proposal for the factory to provincial authorities at a Friday meeting. The 12-hectare factory with an annual capacity of 100,000 tons will be set up at the Phu My 3 Industrial Park.
MDI is an input material for many products including insulation panels, fridges, medium-density fiber (MDF), furniture and synthesized leather.
The project, Tosoh’s first in Vietnam and Southeast Asia, is set to employ 75 locals and three foreigners. The firm has reached an agreement for leasing land and is preparing to apply formally for an investment certificate.
Welcoming the project, Ba Ria-Vung Tau Chairman Nguyen Van Tho said the province always prioritized the eco-friendly projects and employment of locals.
Registered foreign direct investment (FDI) in Vietnam hit $25.76 billion in the year to October 20, up 14.7% year-on-year, according to the Ministry of Planning and Investment. Ba Ria-Vung Tau’s figure was $1.01 billion, 10th-highest among all localities.
Vietnam’s industrial sector continued on its road to recovery as the index of industrial production (IIP) rose 5.5% in October from September, while the January-October index was up 0.5% year-on-year, according to the General Statics Office. Ba Ria-Vung Tau outperformed the country’s overall performance, with its IIP growing 3.1% in January-October.