Steel giant Hoa Phat establishes 3 subsidiaries for major projects in central Vietnam

Hoa Phat Group, a leading steel maker in Vietnam, has set up three new subsidiaries to implement large-scale projects worth VND114.47 trillion ($4.4 billion) in the south-central province of Phu Yen, according to the Phu Yen Economic Zone Management Board.

Accordingly, Hoa Tam IP Infrastructure Development JSC was founded on July 9, 2024, with Tran Kien Cuong as director and legal representative.

Bai Goc Port Phu Yen JSC and Hoa Phat Phu Yen Steel JSC were both established on December 26, 2024, with Ho Duc Tho serving as director and legal representative for both.

All three companies are headquartered in Hoa Tam commune, Dong Hoa township, Phu Yen province.

The management board said on Monday that it received a proposal to develop Phase 1 of the Hoa Tam Industrial Park (IP) from Hoa Tam Industrial Park Infrastructure Development JSC.

The project aims to develop infrastructure within the industrial park, lease land use rights, and construct factory facilities and office buildings for rent. Covering nearly 492 hectares, the VND4.47 trillion ($172.53 million) IP is expected to be completed within four years from the date of official land allocation.

Currently, the unit is working closely with Hoa Phat Group to urge relevant ministries to provide their feedback promptly, in order to finalize the investment proposal for submission to the provincial People's Committee for approval.

Meanwhile, Bai Goc Port Phu Yen JSC proposed the Bai Goc Port project in Hoa Tam commune, Dong Hoa township.

Planned for completion by 2030, the port will span 156 hectares of land and 214 hectares of water, featuring 13 wharves totaling 3,589 meters in length, a 240-meter-wide navigational channel, a 2,287-meter-long breakwater. It can accommodation ships of up to 220,000 DWT, with annual throughput capacity of 30-50 million tons.

The project has a proposed investment of VND24 trillion ($926.35 million) and is included in Vietnam’s national port development plan for 2021-2030, with a vision to 2050.

The company is conducting topographical, geological, and hydrological surveys to prepare a formal investment proposal once planning conditions are met.

The third project is the Hoa Phat Integrated Steel Complex, developed by Hoa Phat Phu Yen Steel JSC. Located in the Hoa Tam IP, the complex will span 520 hectares and have an annual production capacity of 6 million tons.

The project will be carried out in two phases, each with an annual capacity of 3 million tons. Construction is expected to take 36 months after investment approval and land allocation, with an estimated total investment of VND86 trillion ($3.32 billion).

As a secondary project within the Hoa Tam Industrial Park, its implementation will align with the development schedule of the industrial park’s infrastructure.

Hoa Phat Group is listed on the Ho Chi Minh Stock Exchange (HoSE) as HPG, which closed Monday at VND25,350 ($0.98) per share.