Son Ha looking to increase overseas activity

Son Ha's Son Tay branch is now selling Truong Tuyen's stainless steel tanks

Son Ha was considered one of the Vietnamese leading manufacturers of stainless steel household and industrial products with soar growths in revenue, however, within recent five years, the domestic market has become more competitive with the join of both domestic and foreign competitors. Thus, Son Ha is forced to find solutions to create basic for the new development step, expansion its presence in aboard, is one of these solutions.

In 2016, Son Ha exported its products to 30 countries around the world, including difficult markets like the Middle East, North America, and Northern Europe. Foreign markets make up 11 per cent of the company’s total revenue.

Along with increasing exports to foreign markets, Son Ha plans to seek investment opportunities abroad to infiltrate overseas markets. The initial target is Myanmar where Son Ha built a factory, followed by potential markets such as Laos, India, and Turkey.

According to the initial plan, Son Ha will co-operate with NNC Golden Brand JSC to expand its existing factory with a total added capital of $960,000, $720,000 of which will be contributed by Son Ha and $240,000 by NNC. However, according to the current adjusted plan, Son Ha will contribute $840,000 and NNC $120,000.

Besides, the company will try to find a way to return to some old markets that it previously exported large quantities to, such as the US and Brazil.

Regarding the domestic market, the company will decrease its holdings in member company Son Ha Saigon JSC, while simultaneously delineate business markets with Son Ha Saigon. Notably, Son Ha will focus on operating in the northern market, while Son Ha Saigon will hold the southern market.

Besides, in mid 2017, Son Ha completed the purchase of Truong Tuyen Trading Co., Ltd., which is famous for manufacturing stainless steel tanks. After the purchase, Truong Tuyen Trading Company was renamed Truong Tuyen Industry and Services Company Limited.

The Truong Tuyen brand is still intact, offering products and services such as plastic basins, stainless steel tanks, RO water purifiers, nd solar water heaters. Truong Tuyen will build its strategy around its stainless steel tank products.

No time to waste for CST Global leader in storage tanks and covers, CST Industries, has deepened its footprint in Vietnam via a distribution contract signed with Son Ha Group, choosing the nation as a very sensible destination for the US-based company to invest in a manufacturing site in the near future.