The engineering sector of Vietnam National Coal, Mineral Industries Holding Corporation Limited (Vinacomin) once had to struggle to survive because of poor performances. Engineers and technical workers were laid off and their incomes were unstable. But now, the engineering sector is serving as the background for the development of coal - mineral industry.
Vinacomin now has 15 mechanical companies and 35 mechanical workshops. In the past five years, the engineering sector has made robust development and better served coal and mineral production and processing. In 2010 - 2013, mechanical production was stable with annual revenue of nearly VND3,800 billion. Engineering units endeavoured to ensure production operations and incomes for employees and contributed to the fulfilment of production and business plans of Vinacomin Group.
In the first six months of 2014, the engineering sector’s revenue reached VND1,672.2 billion, fulfilling 44 percent of the full-year target of VND3,822 billion and down 4 percent from a year ago. Average monthly income of an employee was approximately VND5.3 million.
However, Vinacomin admitted that the engineering sector is underperforming. It lacks advanced equipment and technologies like CNC and NC as well as high-quality human resources. Outputs are mainly used by Vinacomin. Some mechanical units are struggling to ensure employment and increase low incomes.
Vinacomin is one of four State-run backbone automakers. Its mechanical units are manufacturing medium-load, heavy-load and special vehicles. The group has gradually improved production output, exported automobiles and parts, and participated more deeply into national and regional automobile production chains. The group will assemble and manufacture vehicles of special purposes like liquid tank trucks, container tractors, concrete mixer trucks and fire trucks.
Thanks to proper investment, its mechanical units have improved product quality, expanded product and service ranges, and repaired key equipment. They have manufactured complete equipment, electrical - electronic appliances, transformers, magnetic starters, electrical cabinets, mining equipment and marine vessels for Vinacomin Group as well as electricity, cement, chemical and construction material sectors in the country. Vinacomin’s engineering sector saw annual revenue growth of 30 percent since 2002. Non-Vinacomin customers contributed 33 percent of revenue.
In the coming years, the engineering sector of Vinacomin will focus on developing mechanical engineering and modernising engineering to meet production requirements of Vinacomin as well as domestic and export markets. The sector will strive to manufacture 40 - 50 percent of parts and 20 - 30 percent of replaced parts for the group.
Vinacomin holds advantages in mining and processing high-value natural resources of the country and this is a strong and good backing for the mechanical engineering industry to develop. Its mechanical units are utilising this factor for rapid, robust, strong, safe and effective development.
Huong Giang
Vietnamese
October 2024
Hanoi
