Khanh Hoa Approves Expansion of FDI Textile Dyeing Project at Du Long Industrial Park

Khanh Hoa – The Management Board of Khanh Hoa Economic Zone and Industrial Parks has officially approved the amendment to the Investment Registration Certificate for the Ninh Thuan Textile Dyeing Factory Project, allowing Ninh Thuan Textile Dyeing Co., Ltd. to implement Phase 2 with an additional investment of VND 657.5 billion. Upon completion of the expansion, the project's total investment will exceed VND 1.176 trillion, equivalent to more than USD 46 million.

The Ninh Thuan Textile Dyeing Factory is invested by Ninh Thuan Textile Dyeing Co., Ltd., a member of Südwolle Group (Germany), at Du Long Industrial Park. Südwolle Group is one of the world's leading manufacturers of worsted yarn made from pure and blended wool, supplying premium yarns to numerous international fashion brands.

Phase 1 of the factory was inaugurated and commenced operations in 2025 with a total investment of more than USD 21 million and an annual production capacity of approximately 1,450 tonnes. The factory is equipped with a modern dyeing line featuring Pulsar dyeing technology, developed in accordance with Südwolle Group's European standards. It also incorporates energy- and resource-efficient technologies, helping improve production efficiency while meeting the textile industry's increasingly stringent sustainability requirements.

Expanding Production Capacity and Strengthening the Supply Chain

According to the fourth amended Investment Registration Certificate, Ninh Thuan Textile Dyeing Co., Ltd. has been approved to implement Phase 2 with an investment capital of VND 657.5 billion, increasing the project's total investment to more than VND 1.176 trillion (over USD 46 million).

The expansion aims to meet the growing domestic and international demand for wool yarn products while enhancing the factory's production capacity, improving its competitiveness, and further developing Südwolle Group's integrated supply chain in Vietnam.

Upon completion of Phase 2, the project's annual production capacity is expected to reach approximately 4,000 tonnes. The expansion includes the construction of an additional spinning mill and the installation of new machinery and equipment imported from Italy, France, the United States, Germany, Switzerland, and China.

The factory is expected to recruit 140 additional employees for Phase 2, bringing the total workforce to 300 employees across both phases. Construction, equipment installation, testing, and commissioning of Phase 2 are scheduled for completion by June 2027.

Contributing to the Development of Khanh Hoa's Textile Industry

The Phase 2 expansion of Ninh Thuan Textile Dyeing Co., Ltd. will enhance production capacity while creating new momentum for the development of the textile and garment supply chain at Du Long Industrial Park. The project is also expected to strengthen collaboration among industry players and gradually establish a more integrated textile manufacturing ecosystem within the industrial park.

As Du Long Industrial Park continues to prioritize investments in manufacturing, processing, and supporting industries, the decision of an existing foreign-invested enterprise to expand its operations reflects investors' confidence in the park's investment environment and infrastructure.

Notably, Du Long Industrial Park has recently received approval from the competent authority to amend its investment policy, extending its operational term until 27 April 2077. This extension not only provides long-term legal certainty for existing investment projects but also creates a solid foundation for investors to pursue long-term business strategies, expand production, and develop sustainable supply chains within the industrial park.

With readily available industrial land for lease, well-developed infrastructure, convenient transportation connectivity, and a strategic focus on manufacturing, processing, and supporting industries, Du Long Industrial Park continues to position itself as an attractive destination for both domestic and international investors.

The expansion of the Ninh Thuan Textile Dyeing Factory is expected to create additional employment opportunities, increase industrial output, and make a meaningful contribution to the socio-economic development of Khanh Hoa Province in the years ahead.