Steel giant hurries projects

January 20, 2013 | 13:13

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The Viet Nam Steel Corporation is hastening construction its new plant in northern Lao Cai Province as well as the second phase of its Thai Nguyen Iron and Steel Co expansion project.

A worker packages steel bars at Thai Nguyen Iron and Steel joint stock Corp (TISCO). The National Steel Corporation is hastening construction of two key projects to help increase the corporation's competitiveness next year.

As scheduled, the former would be completed by the end of the year and the latter to begin operations by June.

The two key projects would help increase the corporation's competitiveness next year, said Minister of Industry and Trade Vu Huy Hoang.

He added that the ministry was working with relevant agencies to ensure the timely completion of the Thai Nguyen project.

At an industry conference this week, Hoang urged Viet Nam Steel to focus on renewing technology to conserve energy and to reduce costs and pollution. He also called for concerted efforts towards an appropriate production plan for the current year.

According to Viet Nam Steel deputy director Vu Ba On, the company has targeted to produce 1.4 million tonnes of steel billet this year, an increase of 12 per cent over 2012, and another 2.5 million tonnes of rolled steel, an increase of over 7.5 per cent.

To meet the targets, the corporation has called for Government policies to stimulate demand in the construction industry and lower borrowing costs, On said.

He said that stronger technical barriers were also needed to prevent further imports of low-quality steel and protect domestic producers from unfair competition.

The corporation's output of steel billet last year reached nearly 1.3 million tonnes, an increase of 5.2 per cent over the previous year, yet only about 260,000 tonnes were sold.

Rolling steel output meanwhile rose by 9.5 per cent to 340,274 tonnes, while demand reached nearly 295,000 tonnes

On said that last year was the most difficult year for the nation's steel industry due to the frozen real estate market and resulting slowdown in the construction industry.

VNS

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