By entering into co-operation with US partners Ford Motors, US International Development Finance Corporation (DFC), and The Asia Group, An Phat Holdings expects to accelerate its expansion to the North America market.
|An Phat Holdings has entered into a partnership with various US companies to expand in North America |
On March 3, An Phat Holdings held a working session with Ford Motors, Samsung, DFC, and The Asia Group to discuss co-operation strategies. Especially, it discussed with The Asia Group about developing biodegradable products in the North America market.
The US is considered one of the key markets of the group, which accounts for 10 per cent of the revenue of its packaging segment. In early 2019, An Phat Bioplastics, a member company of An Phat Holdings, announced plans to invest in the construction of an environmentally friendly bag manufacturing factory in the United States in order to meet the increasing demand for this kind of product in the next five years.
At present, the group is one of the few manufacturers who hold technologies and copyrights in this segment. Furthermore, the US government's incentives for environmentally friendly products are head and shoulders above other countries, which will set the group up for success in the North America market, especially the US.
Pham Anh Duong, chairman of An Phat Holdings, said, “The group established a co-operative relationship with Samsung and has the same manufacturing area as Ford (the manufacturing facilities of both groups are located in Hai Duong province). We expect that the co-operation will continue outside Vietnam.”
In recent years, the group has increased investment in the supporting industry, high-tech sectors, while simultaneously increasing the localisation ratio of its products. It is currently a vendor of Samsung and provides components for automobiles and motorcycles.
In Hai Duong, An Phat Holdings is a leader in the project to develop local supporting industries implemented by the Ministry of Industry and Trade, Hai Duong People’s Committee, and Samsung Vietnam.
In addition, the group is a leading industrial real estate developer in Hai Duong. Accordingly, An Phat Complex is not only a production base but also a manufacturing facility for large foreign groups. After two years in operation, the occupancy rate reached 65 per cent and is expected to reach 100 per cent by the end of this year.
Furthermore, the group plans to invest in another industrial zone in Hai Duong named An Binh-Quoc Tuan. The construction of the first phase will be implemented on an area of 180 hectares and is expected to finish by the end of the year.
The group develops green, high-tech industrial parks that offer full utilities to lure in foreign investors, including the wave of US investors relocating to Hai Duong.