Hyosung TNC – a subsidiary of the Korean corporation Hyosung, invested nearly one billion USD in a biological products factory with a capacity of 200,000 tons in Ba Ria – Vung Tau.
This information was confirmed by Hyosung TNC leaders at the "Conference on implementing provincial planning and promoting investment in Ba Ria - Vung Tau province" on the morning of March 30. At the event, Hyosung TNC received an investment registration certificate of nearly one billion USD for the Bio-BDO biological products factory project.
Mr. Bea In Han - General Director of Hyosung Dong Nai (Owner of Bio-BDO project) received the investment policy certificate. Photo: Hyosung Vietnam
This investment enables the construction of Hyosung TNC’s first Bio-BDO plant in Vietnam and Asia, with a production process by fermenting sugar derived from sugarcane, completely replacing traditional fossil raw materials such as coal. The Bio-BDO product is then used to produce bio-spandex fibers. The process helps establish a vertically integrated production system for bio-spandex, from raw materials to fiber products.
The product of this billion-dollar factory is Bio-BDO (Butanediol) - a chemical used as a raw material to produce spandex fibers. Besides spandex fibers, BDO's applications can be expanded to the fields of engineering plastics, biodegradable packaging, shoe soles, industrial compounds and many other industries.
With a closed process, the company will produce Bio-BDO at the factory in Ba Ria - Vung Tau, then combine to produce BIO regen spandex fiber at the Spandex Dong Nai factory.
Deputy Prime Minister Tran Hong Ha received Hyosung Group Vice President Lee Sang Woon on the sidelines of the conference. Photo: Hyosung Vietnam
According to the Korean business leader, the decision to invest in a factory in Ba Ria - Vung Tau province is part of a plan to adapt to the shift in the global materials market, towards sustainable products.
The bio-spandex integrated production system is optimized to serve a customer base in the global sustainable textile market, including brands and retailers in Asia, Europe and the US.
The representative of the Group from Korea expects that the system can improve production efficiency and meet market demand by ensuring a stable supply of raw materials.
"The factory in Ba Ria - Vung Tau can ensure cost competitiveness by reducing transportation costs and minimizing environmental impact by saving transportation fuel," said a representative of this enterprise.
Currently, Hyosung TNC is cooperating with Geno to apply advanced biotechnology that will allow the company to accelerate the project progress to be able to produce and commercialize Bio-BDO with a capacity of 50,000 tons per year in the first half of 2026 and 200,000 tons per year when the plant is fully operational.
Vice President Lee Sang Woon speaks at the conference. Photo: Hyosung Vietnam
Sharing about the company's vision, Mr. Hyun-Joon Cho, Chairman of Hyosung said: "The field of biotechnology, converting traditional fossil fuels into environmentally friendly materials, will become Hyosung's core pillar in the next 100 years."
Accordingly, the factory in Vietnam is one of the Group's strategic steps to participate in the global sustainable materials market, based on a consistent Bio-BDO and Bio Spandex production system.
Established in 1966, Hyosung Group from Korea has strengths in many fields from spandex, nylon fibers, to technical materials in automobiles such as tire cord, steel cord... Currently, Hyosung has invested a cumulative amount of more than 4 billion USD in strong products such as spandex fibers and tire cord.
In 2007, the Group invested in Vietnam through a factory project in Dong Nai. To date, the Korean manufacturer has established production facilities in Dong Nai, Ba Ria - Vung Tau, Quang Nam, and Bac Ninh provinces with more than 9,000 employees.
Thao Van
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