P&G to up razor production investment in southern Vietnam to $313 mln

Consumer goods giant Procter & Gamble (P&G) is set to raise its investment in Binh Duong province to $312.8 million to expand its capacity.

The U.S. multinational company received its latest adjustment, the 16th one, to its investment registration certificate last month. The project is located in two sites of eight hectares and 6.1 hectares in the VSIP II Industrial Park.

P&G was among the first American businesses to enter Vietnam. In Binh Duong, the firm started a baby diaper factory in 2009 and a razor factory in 2014. It stopped the baby diaper plant in 2019 and transferred the operation to Thailand.

Then, in 2020, P&G merged the baby diaper plant with the razor plant. In 2021, the firm started expansion in Binh Duong as the plant’s capacity did not meet the demand, according to a project report.

Under the latest enlargement, the P&G factory will increase the annual capacity of razors and razor blades from 700 million to 853 million items and keep the current output of 630 million razor components. P&G will also increase its annual output of final processing of razors and shaving foams to 453 million items.

P&G aims to complete related administrative procedures in July 2024-April 2025, install equipment in April 2025-November 2025, run trial operation in December 2025-June 2026, and enter official operation in October 2026.

In March, P&G vice president Nitin Darbari told Deputy Prime Minister Tran Luu Quang that P&G was deploying new technologies to expand its production line of razors and razor blades slated for export to Asia-Pacific markets.

P&G considers Vietnam one of its strategic markets and aims to establish the country as a regional manufacturing hub and a sustainable supply source for its other markets, the executive said.