Knauf Viet Nam Company starts construction of its first gypsumboard manufacturing plant in the northern region of Viet Nam. — VNS File Photo

HAI PHONG (VNS) – Knauf Vietnam Company on July 16 started the construction of its first plant in the northern port city of Hai Phong.

Located in Dinh Vu Industrial Zone, Knauf Plant has been one of the largest foreign direct investment (FDI) projects in the city.

Covering an area of 63,000sq.m, the plant has a total investment of 30 million euros (US$40 million). As the plant comes into operational, it would have an annual capacity of 12 million sq.m gypsumboard and 15 million linear metre metal profile.

"We just launched two distributors in Viet Nam (one in the South and one in the North), and now we are starting the construction of our plant. We believe once completed by mid-2015, the plant would help us gain a considerable market share in Viet Nam in general and in the North in particular," said David Thomas, the company's General Director.

Speaking at the groundbreaking ceremony, Thomas said they were planning to expand their relationship with key partners such as distributors, architects, developers, government authorities with an aim to widely introduce our state-of-the-art products with German technology to Viet Nam market.

"Dinh Vu IZ is a strategic location in terms of transportation and manufacturing that would provide the market with high quality products at competitive price and improve standards of the whole industry. That being said, we would improve and strengthen our position among building material manufacturers in Viet Nam," he added.

Knauf Group, founded in 1932 is a multinational producer of building materials and construction systems that operates more than 220 production plants in over 60 countries with roughly 24,000 employees.

Recently, Knauf has been spreading the market to East Europe and Asia. — VNS