Chinfon Cement backs out of Dung Qat project

Chinfon Cement Company has backed out of a US$200 million project to built a 1 million tpa cement plant in the Dung Quat Economic Zone in the central province of Quang Ngai, Vietnam.

An investment certificate for the project was issued by the Dung Quat Economic Zone Authority some two years ago, but has been revoked – reportedly after a suggestion from Chinfon Cement. It would have been the second cement project in the Dung Quat Economic Zone, but the first – being developed by Hanoi’s Dai Viet Investment Material and Construction Joint Stock Co. – has also faced significant delays. Chinfon held back its project by a year, having encountered difficulties during the global economic downturn, and it seems that this delay may be part of the reason why the certificate was revoked. Nguyen Xuan Thuy, head of the zone, in conversation with local media, said that it was necessary to make the decision to revoke the license in order to make way for other investors. These other investors, however, will not be in the cement industry following the government’s decision to stop licensing new projects for the next ten years. Links to other articles about the cement industry in Vietnam are shown below.

Read the article online at: https://www.worldcement.com/asia-pacific-rim/31082010/chinfon_cement_backs_out_of_dung_qat_project/