Vietnamese conglomerate TC Group eyes $94 mln auto project in northern Vietnam

Private firm Thanh Cong Group (TC Group) has proposed a $94 million plus automobile assembly and mechanical manufacturing complex in Hai Duong province.

At a Thursday meeting, TC Group deputy general manager Le Do asked Hai Duong authorities to create conditions for the corporation to implement the project soon at the Lai Vu Industrial Park in Kim Thanh district.

Once operational, the project will raise the localization rate of the auto industry, meet domestic demand and export products, Do said.

Its main products will include car body parts, electronic components, car seats, and mechanical products using technologies transferred from South Korean and Group of Seven (G7) partners.

The complex will deploy an advanced production process without waste and environmental pollution, he added.

The TC Group representative proposed that Hai Duong province allocates about 25.8 hectares in the Lai Vu Industrial Park for the project.

He also proposed that the province levies an industrial park infrastructure rental fee of $20 per square meter, extend the land use period to 50 years from the date of land allocation, and waive land rent during the construction period.

The local leaders were also urged to create conditions to speed up legal procedures, meet labor needs of the group, and issue support policies for workers.

In response, standing Vice Chairman of Hai Duong province Luu Van Ban said the locality will provide maximum support for the investor, especially in the completion of administrative procedures and ensuring labour supply, so that it can complete the project on schedule.

TC Group, specializing in automobile, real estate, and service sectors, recorded a revenue of VND118 trillion ($5.03 billion) in 2022. It paid VND22.4 trillion ($954.3 million) to the state budget last year, up 41% year-on-year, according to the firm’s 2022 review report.

The corporation is the Vietnamese partner in the Hyundai Thanh Cong joint venture, which manufactures and distributes Hyundai Motor brand vehicles in Vietnam.

Hyundai Thanh Cong sold 81,582 Hyundai vehicles in 2022, up 15.6% year-on-year. B-class sedan Hyundai Accent topped the firm's sales list with 22,645 units in the year, followed by Hyundai Creta, a sport utility vehicle, with 12,096 units.