Techtronic Tools (Vietnam) Company Limited under Hong Kong-headquartered multinational firm Techtronic plans to invest $650 million in Ho Chi Minh City, the southern economic hub of Vietnam.
According to the investment certificate granted by municipal authorities late last month, which included the seventh amendment to the original one granted in December 2019, the firm’s investment will cover 13.7 hectares in the Saigon Hi-Tech Park (SHTP), which includes 10 hectares for factories and 3.7 hectares for a research & development (R&D) center.
The firm plans to reach stable production by 2029, with a designed capacity of 24.75 million products a year, equivalent to 97,450 tons. They will include drills, saws, blowers, nail guns, lawnmowers, and vacuum cleaners.
The firm has so far completed the first three phases of the project, with investment capital of $10 million, $50 million, and $30 million. The fourth phase from 2024-2029 is set to cost $560 million. In the first three phases, the firm completed legal documents and kicked off the construction of three plants, 1, 2A, and 2B.
In the next phase, Techtronic aims to complete the construction of factory 1 in the second quarter of 2024, factories 2A and 2B in Q4/2025. It plans to complete legal documents for the R&D center in Q1/2025, begin building the R&D center in Q2/2025, and complete and open the R&D center in Q4/2026.
Techtronic is a fast-growing world leader in power tools, accessories, hand tools, outdoor power equipment, and floorcare and cleaning for do-it-yourself consumers, and professional and industrial users in the home improvement, repair, maintenance, construction and infrastructure industries.
With popular brands like Milwaukee, RYOBI, and Hoover, Techtronic posted annual sales of $13.7 billion in 2023, up 3.6% year-on-year.