The Vietnamese plastics industry has experienced numerous difficulties and obtained encouraging achievements. So far, Vietnamese plastic products have been exported to 41 countries in the world. In 2006, plastic export value reached US$478 million, up 36.6 per cent on year.
One of the core factors leading to the success of the plastic industry is the bold machinery investment of FDI companies like Showpla. This enables Vietnam to develop high-grade plastic products, increase the value of products in the domestic market, from wrappings to consumer products and building materials.
Some 14 years ago, the Vietnamese plastics industry was very poor, with only a few companies, like Tien Phong Plastics.
The breakthrough of the Vietnamese plastic industry was attributed to the presence of foreign companies. Both domestic and foreign companies compete to occupy market share. Plastic companies quickly and boldly invested in modern machinery and equipment, and applied IT in production management and operation. The industry was then capable of producing a wide range of quality products. From only importing spongy bags from Thailand and China in the late 1980s, by 1995, Vietnam was able to make many plastic products meeting the domestic and foreign customer tastes, especially in European nations.
In 1994, Showpla of Japan and Singapore built a plant in Bien Hoa Industrial Zone 2 in Dong Nai Province. In 1998, the company opened another plant in Dong Anh District, Hanoi City. The two factories cost US$25 million. Mr Yukio Saito, General Director of Showpla said, “We encountered numerous difficulties when we arrived in Vietnam. At that time, the Vietnamese plastic market was isolated and new to us, and industrial zones were empty. We grasped the development orientation of the Ministry of Industry, which focused on products with competitive advantages, and heightened domestic production of high-tech products and production materials. Plastic products serve both other industries and consumers. We patiently waited. Nowadays, we are the big supplier of industrial and consumer plastics products, with 98 per cent of the domestic market, for leading FDI firms like Sanyo, LG, Toshiba, Canon, Samsung and Yamaha. In the future, we will step up export. Currently, we employ 600 workers in Bien Hoa and 260 workers in Dong Anh.”
Main Showpla products include:
Injection Moulding: Materials Use-PS,PP, PE, ABS.
Secondary Process: Spray Painting, Sub Assembly; Blowing Moulding: materials Use-HDPE, PP; Bottle Printing, Label Shrinking
To meet production demand and increase competitiveness, Showpla made strong investment in new production facilities. In the Bien Hoa factory alone, Showpla has injection moulding machinery with 32 units; Blowing Moulding Machine with 12 units (Double Cavity) like Tahara TPF555 x 3 units single station and SMC 2000DST x 1 unit double station (2 layer).
The leaders of Showpla are very optimistic about its business performance and the potential of the Vietnamese plastics industry. The company will continue applying modern technology to raise capacity, reduce fuel consumption and train human resources.
Thach Lan
Vietnamese
