Kolon Industries plans 1 billion USD project in Binh Duong hinh anh 1Scene at the meeting (Photo: VNA)

Binh Duong (VNA) – The Kolon Industries, Inc. from the Republic of Korea has selected Bau Bang Industrial Park in the southern province of Binh Duong to locate its one-billion-USD automobile tire cord and airbag factory.

The firm signed a memorandum of understanding on the investment project with the provincial People’s Committee on November 23.

Kolon Industries will pour 220 million USD into the project in the first stage from 2017-2018. The investment capital is scheduled to rise to 600 million USD in the second stage from 2018-2026, and about 1 billion USD in the third stage after 2026.

According to Tran Thanh Liem, Chairman of the provincial People’s Committee, Binh Duong has taken a number of measures to turn itself into an attractive destination for domestic and foreign investors.

By the end of October 2016, the province attracted 2,818 projects from 59 countries and territories around the world with total investment of 25.6 billion USD. The RoK is the third largest investor of Binh Duong with 594 projects worth 2.4 billion USD.

Meanwhile, Kolon Industries Chairman and CEO Park Dong Moon said that the firm had spent two years examining 27 industrial parks throughout Vietnam. It found that the Bau Bang IP is the most reliable and suitable area for its project, he said.

In July 2016, the RoK group inked a deal with Becamex IDC Corp – the owner of the Bau Bang IP – to lease 42 hectares for the construction of the plant.

Founded in 1957, Kolon Industries is one of the RoK’s leading multi-sector and trans-national firms. Its major products include automobile tire cords, airbags, film and electronic materials./.