Baek Byung-yeul is a journalist at The Korea Times focused on cultural content, including films and cultural events in South Korea. You can contact him at baekby@koreatimes.co.kr to share your insights.
Dongwha Vietnam begins full production at laminate flooring, MDF plant
Dongwha Group Chairman Seung Myung-ho, center, poses during a production commencement ceremony for Dongwha Vietnam's laminate flooring and medium-density fiberboard manufacturing plant in Thai Nguyen, Vietnam, Dec. 2. From second left are Dongwha Enterprise CEO Kim Hong-jin; Dongwha Enterprise Vice Chairman Seung Ji-soo; Korean Ambassador to Vietnam Park Noh-wan; Seung; and Nguyen Thanh Hai, secretary of the Thai Nguyen Provincial Party Committee; alongside other dignitaries. Courtesy of Dongwha Enterprise
By Baek Byung-yeul
By Baek Byung-yeul
Dongwha Vietnam, a Vietnamese unit of Korea's top wood materials manufacturer Dongwha Enterprise, has begun full commercial operations of a plant near Hanoi producing laminate flooring and medium-density fiberboard (MDF) products.
The company said it held a grand commencement ceremony for the plant located in Thai Nguyen, near Hanoi, Dec. 2. The event was participated in by Nguyen Thanh Hai, secretary of the Thai Nguyen Provincial Party Committee; Korean Ambassador to Vietnam Park Noh-wan; Dongwha Group Chairman Seung Myung-ho; Dongwha Enterprise Vice Chairman Seung Ji-soo; and Dongwha Enterprise CEO Kim Hong-jin.
The factory is on a 500,000 square meter site and was built with a total investment of 180 billion won ($152.6 million).
Dongwha Vietnam completed the laminate flooring section of the plant in March and began production after going through test operations in April. Its MDF-manufacturing section was then completed in June and began production in September.
The factory is capable of producing 370,000 square meters of MDF products and 400,000 square meters of laminate flooring a year.
Dongwha Vietnam's plant / Courtesy of Dongwha Enterprise
Dongwha Enterprise advanced into Vietnam after setting up a joint venture VRG Dongwha with the state-run Vietnam Rubber Group in 2008.
The Korean company, which has steadily increased its share of the MDF market in the southern part of Vietnam, centered on Ho Chi Minh City, is aiming for a 50 percent market share in the northern part of the country, immediately after stabilizing production at the new plant.
“Donghwa, which has dominated the MDF market in southern Vietnam, will show overwhelming influence throughout the country with the completion of its plant in Hanoi,” Kim Hong-jin, CEO of Donghwa Enterprise, said. “We are also considering building additional lines at both South and North plants.”