The groundbreaking ceremony was held on the morning of 19 December in Vạn Tường township, located in the eastern industrial zone of the Dung Quất Economic Zone. The event was attended by senior government officials, including Head of the Government Office and Minister Trần Văn Sơn, as well as Deputy Head of the Party Central Committee’s Organization Commission Bùi Thị Quỳnh Vân.
The project is a key component of Hoa Phat’s strategic expansion into high technology steel production and is among the major national investments planned in connection with the 14th National Congress of the Communist Party of Vietnam.
The facility, to be built under the name Hoa Phat Dung Quat railway rail and special steel plant, will have an annual production capacity of 700,000 tonnes. Total investment exceeds 10 trillion Vietnamese dong, equivalent to approximately USD 380 million, and the plant will be constructed on an area of nearly 15 hectares within the Dung Quất Economic Zone’s eastern industrial park.
To ensure product homogeneity in line with international high speed rail standards, the production line will include a four high milling system with high flexibility and precision. The plant is designed to manufacture high speed railway rails, urban railway rails, crane rails, as well as various special steel sections including U, I, H and V profiles.
The rails are planned to be produced in lengths of up to 100 meters, with high accuracy and straightness. Products will undergo strict quality control processes, including laser based geometry measurements and ultrasonic internal defect detection, aiming to meet demanding technical standards required for heavy industry and transportation infrastructure projects worldwide.
Mai Văn Hà, director of Hoa Phat Dung Quat’s special steel subsidiary, stated at the ceremony that the project strengthens Vietnam’s goal of supplying domestically produced, high quality steel for major transportation infrastructure developments. He emphasized that both the technological infrastructure and a skilled workforce are being prepared to ensure efficient use of the new production systems once the plant becomes operational.
Local authorities in Quảng Ngãi province also confirmed full support for the project, including land allocation, infrastructure assistance and facilitation of investment procedures. Officials emphasized that the plant is expected to make significant contributions to local industry, services, employment and overall economic activity.
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