With the advantage of a deep-water seaport near factories, Hoa Phat Group can easily import raw materials for production at competitive prices. — Photo courtesy of the group

The Hoa Phat Group has reported some US$700 million worth of imports from Australia this year, more than double the figure from last year and making the industrial manufacturer the largest Vietnamese client of the country.

More than half of the total import value, or $364 million, came from coal, compared to just US$115 million in 2019.

The group’s purchases of iron ore leapt a whopping 19-times to $123 million in the first eleven months of the year.

Hoa Phat bought more coal and iron ore this year to serve production at its iron and steel integrated complexes in the northern province of Hai Duong and the central province of Quang Ngai’s Dung Quat Economic Zone.

Meanwhile, it annually purchases hundreds of thousands of cows from Australia, with its herd now accounting for 50 per cent of all Australian-imported cows in Viet Nam.

With such soaring import numbers, Hoa Phat is estimated to account for 17 per cent of Australia’s total export value to Viet Nam, compared to 7.4 per cent in 2018 and 7.6 per cent in 2019.

It is expected to outlay over $1 billion on goods from Australia next year, an annual increase of 40 per cent. — VNS