Taiwanese-invested Formosa Ha Tinh Steel Corporation (FHS), which operates a large-scale steel mill in central Vietnam, has paid VND3.2 trillion (US$143.6 million) in import-export tax in the first seven months this year.
A production line at Formosa Ha Tinh steel mill. Photo: baodautu.vn
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FHS has put into operation its second blast furnace since the start of this year, pushing up demand for materials needed for the complex’s operations, as well as imports in the province.
Import turnover in the province soared 118.1% year-on-year to US$1.22 billion while exports rose 146.7% to US$465 million, according to customs data.
With the operation of the second furnace, the steel mill produced 1.9 million tons of products in the first half this year and is expected to churn out five million tons in the whole 2018, raking in US$2.6 billion in revenue.
If the two furnaces run at their maximum capacity, the mill’s production may hit 6.71 million tons per year, bringing US$3.5 billion in revenue.
Together with Samsung and other foreign-invested enterprises, FHS has helped boost Vietnam’s manufacturing and economic growth since its operation last year.
A toxic leak of the mill caused a maritime disaster along over 200 kilometers of coastline in central Vietnam in April 2016, with tons of marine species washing up and thousands of locals becoming jobless.
After found responsible, Formosa Group paid US$500 million in compensation and made an official apology to the Vietnamese government and people.
In a visit to the mill in July, Prime Minister Nguyen Xuan Phuc requested the firm to strictly comply with environmental standards and disallow the reoccurrence of such a disaster.
