Prime Minister Pham Minh Chinh made the statement during a working trip to Hoa Phat Dung Quat Steel JSC on February 9.

Prime Minister Chinh visited a Hoa Phat steel roll mill. Photo: The Ministry of Transport

According to Hoa Phat's report, the group has already received approval to invest in eight projects in Dung Quat Economic Zone. They include two iron and steel production complexes.

Entering the eighth year of investing in Dung Quat Economic Zone, in early February 2025, Hoa Phat marked the landmark of producing 25 millionth tonne of steel.

Thus far, Hoa Phat Dung Quat Steel has contributed nearly VND35 trillion ($1.4 billion) to the state budget. Its projects create jobs for about 19,000 direct workers, of which local workers account for more than 80 per cent, and tens of thousands of workers of Hoa Phat's contractors and partners.

Hoa Phat is prioritising the completion and operation of the Hoa Phat Dung Quat 2 iron and steel complex to ensure stability and will continue to invest in developing high-quality steel products in Dung Quat Economic Zone, aiming to be self-sufficient to supply key national projects, of which priority has been given to the North-South high-speed railway.

Chairman of the company’s Board of Directors Tran Dinh Long said that Hoa Phat is currently the number one steel producer in Vietnam, and among the top 50 largest steel enterprises in the world. The group now exports steel to 40 countries and territories.

When the second complex is completed, Hoa Phat Group's steel production capacity will reach over 14 million tonnes a year and is expected to bring Hoa Phat into the top 30 largest steel enterprises in the world from 2025. Long said that Hoa Phat will grow at least 15 per cent from now until 2030.

Photo: The Ministry of Transport

"With its current capacity, the group is focusing on producing high-quality steel to help replace imported products. Hoa Phat is confident in its ability to research and produce steel for rails, train axles, and high-speed trains according to the PM's direction, ensuring progress, quality, price, as well as high-quality steel to serve key national projects and export to the world," the chairman emphasised.

The PM asked Hoa Phat to continue researching and producing high-quality steel, especially steel rails for the North-South high-speed railway, railway lines connecting China, and urban railways.

The government leader directed authorities of Quang Ngai province to arrange land funds for Hoa Phat, while the Ministry of Industry and Trade and the Ministry of Natural Resources and Environment will work to ensure compliance with Party and state regulations, ensuring an open, transparent, and healthy competitive environment.

On February 8, the PM also had a working trip to THACO Group. He proposed THACO research and build high-speed railway carriages.

In terms of mechanics and supporting industries, THACO has invested heavily, employing many modern technologies and machines. In particular, the research and development Centre is operated by more than 1,000 engineers, fully equipped with testing equipment and research systems of international standards to help improve product quality and competitiveness.

THACO is also developing an advanced electrical equipment factory, a modern auto glass factory, and a precision mechanical factory to meet domestic and export demand.

In 2025, the group will continue to invest heavily in mechanical production and supporting industries. In the automobile sector, the target is to sell more than 108,000 cars, with an estimated revenue of more than VND80 trillion ($3.2 billion).