On the morning of December 19, Hoa Phat Group held a groundbreaking ceremony for the Hoa Phat Dung Quat Special Steel Factory Project. The ceremony was attended by Mr. Tran Van Son - Minister, Head of the Government Office...
The project started construction to celebrate the 4th National Party Congress.
The project is part of the Group's high-tech steel production strategy, using a modern European line. It is expected that the factory will launch railway and steel rails in 2027, ready to supply key railway projects.
The Hoa Phat Dung Quat Special State Steel and Railway Factory project has a designed capacity of 700,000 tons/year, a total investment of more than 10,000 billion VND, deployed on an area of nearly 15 hectares in the Industrial Park in the East of Dung Quat Economic Zone.
The factory is invested in the most modern technology line in the world today by SMS group (Germany) and Primetals (UK). This is a leading modern line in Europe, using a highly flexible four-asile rope system with high accuracy, helping to ensure consistent quality according to international high-speed railway standards.
The factory's high-tech steel products include: high-speed railway rails, urban railway rails, and axle rails. In addition, the factory also produces U, I, H, V-shaped steel and many other special steels. The first high-speed rail rail product is expected to launch in 2027, helping Hoa Phat become the first enterprise in Southeast Asia to produce this type of steel.
The product complies with the most strict standards in the world, including EN 3674 ( Europe), JIS E1120 (Japan) and TB/T2344 (China), meeting strict technical requirements in the transportation and heavy industry sectors.
Mr. Tran Dinh Long - Chairman of the Board of Directors of Hoa Phat Group said that the Group focuses on promoting the production of high-quality steel products, especially steel, including high-speed railway rails to contribute to mastering technology and developing Vietnam's railway industry in the near future.
Currently, the project has completed site clearance and legal procedures. Immediately after today's groundbreaking ceremony, contractors simultaneously constructed related items. From mid-2026, machinery and technology lines will be installed, striving to produce the first rail steel products in the kiln in 2027, one year earlier than expected in the approved investment policy.
Hoa Phat is Vietnam's leading industrial manufacturing group, in which steel is the core field. From the end of 2026, the Group's crude steel production capacity will reach 16 million tons/year, equivalent to the Top 30 largest steel enterprises in the world. The Group aims to expand the production of high-quality steel products, especially steel for the mechanical industry, automobiles, shipbuilding, oil and gas, energy, structural steel, etc.
Speaking at the groundbreaking ceremony, Mr. Mai Van Ha, Director of Hoa Phat Dung Quat Steel Company, said that for 10 consecutive years, Hoa Phat has been in the Top 3 largest private enterprises in Vietnam. The Group has created jobs for 32,000 direct and tens of thousands of indirect workers nationwide, with 18,000 in Quang Ngai alone. Each year, Hoa Phat contributes about VND15,000 billion to the state budget.
The implementation of this project aims to realize commitments to the Government on manufacturing and supplying high-quality steel products to serve key transport projects under implementation. The Group has prepared the technology line, human resources to receive and master the technology as soon as the factory comes into operation.
