An Phat Group accelerates investment in the US

Monday, Jun 17, 2019 17:05

Dinh Xuan Cuong, general director of An Phat Holdings Group (second from left), at the Select USA 2019 expo. — VNS Photo

An Phat Holdings Group is accelerating its construction of an environmentally-friendly packaging factory with 300 production lines in the US.

The information was released by the group’s general director Dinh Xuan Cuong at the Select USA 2019 expo held in the US last week. This annual event was organised by the US Department of Commerce, attracting the participation of more than 3,000 investors worldwide.

Cuong said the factory was expected to become operational in the first quarter of 2020 and provide products to the North American market the same year.

The plant will produce fully biodegradable plastic bags, polyethylene (PE) bag and other environmentally-friendly plastic products.

The US has become a key export market for An Phat in recent years, accounting for around 20 per cent of its total export revenue annually.

He said the environmentally-friendly products had advantages in the US due to tax breaks.

The An Phat Plastic and Green Environment JSC (An Phat Bioplastics) already has a factory providing fully biodegradable plastic bags, PE bags and other environmentally-friendly plastic products to the US market.

Its packaging products are available in more than 100 countries and territories worldwide.

In the first quarter of the year, An Phat Bioplastics’ profit reached VND214 billion (US$9.16 million), four times higher than the same period last year. The positive results were partly contributed by industrial real estate at its An Phat Complex. The rental rate at the industrial zone stands at nearly 60 per cent of its total area. — VNS

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