BERLIN (dpa-AFX) - Fuchs SE (FUPEF), a German specialty chemicals manufacturer, announced on Thursday the opening of a new plant in Ba Ria-Vung Tau, Vietnam, with a view to meet growing demand for lubricants in this region.
With an investment of 9 million euros, the plant will make lubricants like automotive oils, industrial oils, metal working fluids, and products for the mining industry.
Production is expected to start in the fourth quarter of 2023.
Presently, the plant has a capacity of 20,000 tons per year, which can be expanded in the second construction phase.
The company aims to become a single source of production for its customers in Vietnam.
The new high-tech manufacturing facility covers an area of 20,000 sq-meters and will be expanded in two construction phases, first of which has already been completed.
FUCHS has been active in Vietnam since 2013. In 2021, the firm acquired 70 percent of the lubricants business of STD & S Co. Ltd., a distributor of specialty lubricants based in Vietnam and it became part of the unit FUCHS Lubricants Vietnam Company Ltd.
By the end of 2023, the company is expected to increase its workforce to 35 employees. It also reported sales in the mid-single-digit million range in the fiscal 2022.
Currently, shares of FUCHS are trading at $29.90, down 0.17% on the Xetra Stock Exchange.
Copyright(c) 2023 RTTNews.com. All Rights Reserved
Copyright RTT News/dpa-AFX
© 2023 AFX News
