(Photo: Hyosung Group)
Hyosung Group, South Korea's leading power transformer producer, continues to expand its investments in Vietnam, recently venturing into low-carbon green products in the southeastern province of Ba Ria-Vung Tau. The company is preparing to develop biodegradable fibers and Hydrotreated Vegetable Oils (HVO).
Regarding HVO, Hyosung announced on Tuesday (Jan. 30) that it will invest 400 million USD to build a plant in Phu My 2 Industrial Park, covering an area of approximately 8.4 hectares, with an estimated annual production capacity of about 2.34 billion tons.
The representative from Hyosung Group stated during the meeting with Nguyen Van Tho, Chairman of Ba Ria - Vung Tau Provincial People's Committee, that HVO refining technology is relatively new in Vietnam. It is an eco-friendly product produced from biorefined materials such as waste cooking oil, fish oil, palm oil, and animal fats. It is considered a sustainable aviation fuel (SAF), with a significant reduction in carbon emissions of 73%-84% compared to traditional fuels.
Nguyen Van Tho welcomed Hyosung's investment, and gave a commitment to expedite the review process, with a suggestion the company that regulations must be followed. He noted, “this is still a new field in Vietnam, and it is necessary to adhere to legal provisions, especially those related to technology and environmental regulations.”
Last December, Hyosung decided to invest 720 million USD in Ba Ria-Vung Tau Province to produce biodegradable fibers, utilizing sugarcane as raw material to produce spandex fabric for the first time.
Ba Ria-Vung Tau Province rich in minerals, is a key hub for the chemical industry in Vietnam. However, to achieve the national net-zero goal, the province is actively transitioning to green chemistry and a circular economy. It has become Hyosung Group's second-largest investment base, with a total investment of about 1.4 billion USD, second only to Dong Nai Province with 1.9 billion USD.
Hyosung started investing in Vietnam in 2007, with a total investment of about 3.5 billion USD so far, focusing on various sectors including textiles, power transformers, chemicals, industrial materials, heavy industries, and information technology. It is currently the largest foreign investor in Dong Nai Province, followed by Formosa Plastics, Bosch, LIXIL and Nestle.