Konlon Industries Binh Duong Co Ltd began operations of its factory manufacturing polyester tyre cords with total investment of US$220 million in Binh Duong Province on September 18.

According to South Korean Konlon Industries Inc, its Konlon Industries Binh Duong factory located in Bau Bang Industrial Zone is a smart factory using high technology to produce polyester tyre cords that are high-functional products essential for the manufacture of high quality automobile tyres. The factory has a production capacity of 1,400 tonnes of polyester tyre cord per year.

Speaking at the inauguration ceremony of the factory, Mai Hung Dung, vice chairman of Binh Duong People’s Committee, said this is a project producing high value added products with modern and environmentally-friendly technology suitable with the investment policies in Binh Duong Province.

Dung said the province expects the factory to operate efficiently and market high quality products. Meanwhile, the provincial authorities would be ready to solve obstacles and also create favourable conditions in doing business in the province for the Konlon Industries Binh Duong Co, Ltd as well as other investors.

In 2016, Binh Duong People’s Committee and Kolon Industries signed a memorandum of understanding (MOU) to develop a project manufacturing tyre cords and airbags with total investment of $1 billion in the Bau Bang Industrial Park.

Of which, Kolon Industries has poured $220 million into the project in the first stage from 2017 until 2018. The investment capital was scheduled to rise to $600 million in the second stage from 2018 to 2026 and to about $1 billion in the third stage after 2026.

Since the first nylon production in Korea in 1957, Kolon Industries, Inc., formerly Kolon Corporation has now focused on the four major business divisions, namely, industrial materials, chemical, films/electronic materials, and fashion. The company has become a leader in each industry. – VNS