A series of billion-dollar automobile factories in the northern mountainous region are in ruins

Việt Bắc |

With a total investment of hundreds of billions of dong, but after decades of construction, a series of automobile manufacturing and assembly factories in Thai Nguyen and Bac Kan have all fallen into disrepair.

The dream of car production failed

In mid-June 2010, Bac Kan province granted an investment certificate for the Tralas Automobile Factory Project in Xuat Hoa commune, now Xuat Hoa ward, Bac Kan city with a total investment of 42 billion VND.

The factory had an expected capacity of 6,000 trucks/year. At that time, this was a key project of Bac Kan province with the dream of producing cars, creating jobs and promoting socio-economic development.

However, after nearly 15 years of implementation, the investor, Tracimexco Automobile Manufacturing and Manufacturing Joint Stock Company, was unable to put the project into operation. The billion-dollar automobile factory was left inactive and then fell into disrepair.

Du an nha may san xuat o to tai Bac Kan da duoc chuyen thanh xuong go boc. Anh: Viet Bac.
The car factory project in Bac Kan has been converted into a sawmill. Photo: Viet Bac

Instead of manufacturing cars, since 2012, Tracimexco Company has applied to add the forest products processing and assembly line production lines for sawn timber and wooden chopsticks for export. At the end of 2017, after many years of losses and environmental pollution, the production of wooden chopsticks was temporarily suspended.

To date, the tens of hectares of auto manufacturing factory has been turned into a sawn timber processing factory. Wood processing activities in recent years have caused environmental pollution, making local people angry.

At the end of August 2024, in response to people's petitions about the Tralas Automobile Factory Project, the Department of Planning and Investment of Bac Kan province said that the Provincial People's Committee had notified and worked with the investor. At the same time, the Department of Natural Resources and Environment was assigned to advise the Provincial People's Committee to reclaim land from Tracimexco Company according to regulations.

Thai Nguyen's first car manufacturing project "died young"

The project to invest in construction and business of infrastructure in Area B - Nam Pho Yen Industrial Park, including the automobile manufacturing factory of Xuan Kien Vinaxuki Thai Nguyen Automobile Company Limited with an area of ​​26.7 hectares in Thuan Thanh Ward (Pho Yen City) has an investment of more than 130 billion VND.

First granted investment certificate in April 2008, after more than a decade, this hundred billion car manufacturing project is still inactive and "stillborn" without producing any cars. The factory is abandoned in the middle of the industrial center of Pho Yen city.

Hoang tan tai du an o to tram ti dau tien o Thai Nguyen. Anh: Viet Bac.
Desolate at the first hundred billion car project in Thai Nguyen. Photo: Viet Bac

According to the reporter's investigation, the reason why the Vinaxuki Thai Nguyen project cannot be implemented is due to problems in compensation and site clearance for households whose agricultural land has been recovered. In addition, the financial situation of the investor is difficult, leading to the inability to implement.

On July 22, 2019, in the Conclusion of the inspection of the above project, the People's Committee of Thai Nguyen province agreed to allow the Vinaxuki Thai Nguyen Project to resolve the existing problems to continue implementation within 1 year. However, the permitted period has expired but the Vinaxuki Thai Nguyen Project has not been able to resume implementation.

On June 29, 2021, Thai Nguyen Industrial Park Management Board issued document No. 1258 officially announcing the termination of the Vinaxuki Thai Nguyen Project.

Việt Bắc
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