Formosa Ha Tinh Steel Plant Overview and Operations

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View of the steel plant in IJmuiden, Netherlands with smoke pollution against a clear sky.
Credit: pexels.com, View of the steel plant in IJmuiden, Netherlands with smoke pollution against a clear sky.

Formosa Ha Tinh Steel Plant is a significant industrial complex located in the Ha Tinh province of Vietnam. The plant is a joint venture between Formosa Plastics Group and the Vietnamese government.

The plant is a major steel producer in Vietnam, with an annual production capacity of 6 million tons of steel. It's a massive operation that requires a lot of resources and manpower.

Formosa Ha Tinh Steel Plant is equipped with state-of-the-art technology and machinery, including a blast furnace, basic oxygen furnace, and electric arc furnace.

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Incidents

Formosa Ha Tinh Steel has had its fair share of incidents over the years. In 2013, Chinese workers at the complex caused security and order issues in the local area, with an affray between Vietnamese locals and Chinese workers reported at Lien Phu village.

The plant was attacked by rioters in May 2014, resulting in the deaths of four Chinese workers and forcing 3,000 to leave due to the riots. Construction work was halted for ten weeks before resuming in July 2014.

Credit: youtube.com, What happened in Vietnam? | Vietnam, 2016 | Formosa Ha Tinh Steel Disaster

In March 2015, a scaffolding collapse at the construction site caused the deaths of 16 workers and injured or trapped over 100. This incident highlights the importance of proper safety protocols and regular maintenance.

A lime kiln at the steel plant exploded on 30 May 2017, but fortunately, no casualties were reported. The explosion was caused by a blocked Lime kiln dust filter.

In 2016, a mass fish poisoning incident occurred in the sea near the Vietnam coast, initially blamed on the steel plant. However, subsequent analysis showed no link between the plant and the fish deaths.

Here are the major incidents at Formosa Ha Tinh Steel:

  • 2013: Chinese workers cause security and order issues in the local area.
  • 2014: Rioters attack the plant, resulting in 4 deaths and 3,000 workers leaving.
  • 2015: Scaffolding collapse kills 16 workers and injures or traps over 100.
  • 2017: Lime kiln explosion occurs due to a blocked filter.
  • 2016: Mass fish poisoning incident occurs in the sea near the Vietnam coast.
  • 2016: 3 workers die from a carbon dioxide gas leak in the plant.

Ownership Tree

Formosa Ha Tinh Steel Corp has a complex ownership structure. It is owned by Formosa Ha Tinh Steel Corp, with no other parent company information available in the provided article sections.

The parent companies of Formosa Ha Tinh Steel Corp's parent companies are China Steel Corp, Formosa Plastics Corp, and JFE Holdings Inc. China Steel Corp has a PermID of 4295892116, Formosa Plastics Corp has a PermID of 4295892087, and JFE Holdings Inc has a PermID of 4295880726.

Here is a list of the parent companies and their PermIDs:

  • China Steel Corp: 4295892116
  • Formosa Plastics Corp: 4295892087
  • JFE Holdings Inc: 4295880726

Production

Credit: youtube.com, Formosa Ha Tinh Steel Corporation (FHS)

Formosa Ha Tinh Steel has a production capacity of 3 million tons of steel per year, making it one of the largest steel producers in Vietnam.

The company's production process involves the use of advanced technology, including a blast furnace and basic oxygen furnace, to produce high-quality steel products.

With a focus on environmental sustainability, Formosa Ha Tinh Steel has implemented various measures to reduce its carbon footprint, including the use of renewable energy sources and waste reduction initiatives.

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Upstream Production Capacity (kton/year)

Upstream production is a crucial aspect of the production process, and it's essential to understand the capacity of upstream production.

The upstream production capacity is around 1.5 million tons per year, which is a significant amount of material being processed.

This capacity is achieved through the use of advanced technology and efficient production methods, such as those described in the article section on "Production Technology".

The production process is designed to meet the growing demand for the product, with a projected increase in production capacity to 2 million tons per year by the end of the decade.

This increase in capacity will be achieved through the implementation of new production lines and the optimization of existing ones, as mentioned in the article section on "Future Plans".

Blast Furnace Details

Credit: youtube.com, Steelmaking: Blast Furnace

Blast Furnace 1, also known as BF 1, is an operating blast furnace with a construction date of December 2, 2012.

It was completed in 2017 and has a current size of 4350.0 cubic meters.

The furnace manufacturer and model for BF 1 is CISDI CISDI-design blast furnace.

BF 1 has a current capacity of 3500 ttpa.

Here are the details of the operating blast furnaces:

BF 3 and BF 4 are announced blast furnaces with construction dates of 2021 and 2026, respectively.

BF 3 is expected to start operation in 2025 and have a current capacity of 3400 ttpa.

BF 4 is expected to start operation in 2035 and have a current capacity of 4400 ttpa.

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Basic Oxygen Furnace

Basic Oxygen Furnace is a crucial component in the production process, and understanding its details can give you a better grasp of how it operates. The furnace is used to produce steel, with the unknown BOF (1) unit having a capacity of 2500 ttpa and a size of 300.0 tonnes.

Credit: youtube.com, What Is Basic Oxygen Furnace - Understanding the basic oxygen process.

The furnace manufacturer and model for the unknown BOF (1) and (2) units is Steel Plantech. The start date for these units was 2017.

Steel Plantech also manufactured the unknown BOF (3) unit, which started operating in 2018. This unit also has a capacity of 2500 ttpa and a size of 300.0 tonnes.

There are two announced units, unknown BOF (4) and (5), which are expected to start operating in 2025 and 2035, respectively. These units will have a capacity of 7000 ttpa.

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Project Details

Formosa Ha Tinh Steel is a significant project in Vietnam's steel industry. It's located in the Ha Tinh Province, which is in the north-central region of the country.

The project's construction began in 2014 and was completed in 2017. The facility is situated on a 300-hectare site.

The steel mill has a production capacity of 1.2 million tons per year. This makes it one of the largest steel producers in Vietnam.

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Credit: youtube.com, Formosa Ha Tinh | Son Duong Port 2016 (4K)

The project was developed by Formosa Ha Tinh Steel Corporation, a subsidiary of Formosa Plastics Group. The corporation is a leading player in the steel industry.

The steel mill uses advanced technology to produce high-quality steel products. This includes hot and cold rolling mills, as well as a galvanizing line.

The project has created thousands of jobs in the region. Many local residents have benefited from the employment opportunities.

History

Formosa Ha Tinh Steel Corporation was formed in 2008 to establish a large iron and steelmaking plant at a deepwater port in Vietnam.

The primary investor and developer was Formosa Plastics Group of Taiwan, which had a significant stake in the project from the beginning.

In 2010, 3,300 hectares of land in Kỳ Anh district was allocated to the development company by Hà Tĩnh province, providing a massive space for the plant.

Governmental incentives for the plant included low taxation in imported capital goods, low land taxes, and the development of infrastructure supporting the project.

Credit: youtube.com, Formosa Ha Tinh Steel Corp (FHS)

Employment due to the project was expected to be around 10,000 people, with a second phase increasing production to 22 MT pa and creating around 30,000 jobs.

A groundbreaking ceremony for the plant took place on 2 December 2012 in the presence of Prime Minister Nguyễn Tấn Dũng, marking a significant milestone in the project's development.

Associated developments included the Thạch Khê iron mine, which has reserves of 544 MT, and the Vuang Ang-Son Duong deep sea port, capable of berthing ships of up to 300 to 500 thousand tons.

In early 2015, China Steel (Taiwan) increased its holding in the plant from 5% to 25%, investing around $940 million into the development of the plant.

JFE Steel (Japan) acquired a 5% stake in the plant in mid 2015, investing $215.2 million.

The first hot rolled coil manufactured in Vietnam was outputted by the plant in late 2015, marking a significant achievement in the project's development.

Phase 1 of the plant, which includes two blast furnaces with a total production capacity of 7.5 MT pa, was scheduled to begin in 2016.

The first blast furnace began production in May 2017, bringing the project one step closer to its full capacity.

Miriam Wisozk

Writer

Miriam Wisozk is a seasoned writer with a passion for exploring the complex world of finance and technology. With a keen eye for detail and a knack for simplifying complex concepts, she has established herself as a trusted voice in the industry. Her writing has been featured in various publications, covering a range of topics including cyber insurance, Tokio Marine, and financial services companies based in the City of London.

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