Hanoi Industrial Textile Joint Stock Company (Vietnam)

The subject has a long history of operation in the field of tire cord fabric and non-woven geotextile fabric production since 1967. Besides supplying to the domestic market, it is exporting products to international markets such as India, Australia, Thailand (mainly), the Philippines, New Zealand, and Malaysia. According to a summary report of the company, it exported 142 tons of 5,648 tons of tire cord fabrics in 2022 (equivalent to about 2.5%), decreasing by 59% against 2021. Meanwhile, exporting non-woven geotextile fabrics attained 531 tons of 1,066 tons in total (about 49.8 tons), significantly cutting down by 44% in the same period. The gross output of the industry in 2022 reached 92.9% of the plan, equaling 92.7% of that in 2021, yet the total turnover increased by over 7% in comparison with the year 2021 owing to an increase in the price of output in general. In the context of the post-COVID economic recession and inflation, many industries have been remarkably affected, and the subject is not out of the common situation. Major and traditional export markets have been narrowed; PA tire cord fabric production has suddenly reduced due to high pressure from customers to change from PA products to PE products. Accordingly, the General Meeting of Shareholders has set a target of revenue and profit for the year 2023, which has been VND 518 billion and VND 35 billion, respectively, significantly lower numbers over the year 2022. Noticeably, the market pressure on replacing PA tire cord products with steel and PE tire cord products is increasingly clear. Therefore, the subject has recently started to invest in a new factory in Hung Yen Province with a 2-trough dipping line, which can manufacture both types of tire cords. According to a male staff from the Administration Department, due to the impact of the COVID-19 pandemic, this project is still behind schedule. It is trying its best to complete phase 1 - investment in a new dipping line in Pho Noi A IP with an estimated investment of VND 274 billion to put into operation in the shortcoming time.