Zamil Steel recently announced the consolidation of its Vietnamese manufacturing operations by closing its northern Vietnam facility to focus on expansion in southern Vietnam. Given Zamil Steel's pioneering role as the first Saudi Arabian investor in Vietnam in 1997 and its 29-year history here, how does this decision reflect the company's long-term commitment to the Vietnamese market?
The consolidation of our two Vietnamese facilities into one expanded, world-class operation reflects a strategic evolution grounded in nearly three decades of on-the-ground experience and unwavering confidence in Vietnam’s trajectory. As the first Saudi investor in this nation, we have had the privilege of witnessing Vietnam’s remarkable rise. Today, Vietnam stands as a premier manufacturing hub in Southeast Asia. Over the past 29 years, we have delivered more than 7,000 projects from our Vietnam base - clear evidence that this country is integral to Zamil Steel’s global strategy.
By concentrating our resources in an expanded, highly innovative facility, we are making a decisive, long-term commitment to Vietnam’s industrial future. This move enables us to consolidate our engineering expertise, advanced automation, and fabrication excellence into a single high-capacity export hub. In doing so, we are not merely optimizing for today, we are future-proofing Zamil Steel Vietnam for the decades ahead, ensuring we remain the most efficient, technologically advanced, and reliable partner for Vietnam’s continued industrial ascent.
The steel construction market in Vietnam and Southeast Asia is highly competitive. Based on your 29 years of regional experience, what are Zamil Steel's core competitive advantages that differentiate you from local fabricators and ensure your continued leadership in quality and service?
As competition within the local market intensifies, Zamil Steel distinguishes itself by adhering to global standards of excellence. Our competitive advantage is founded on three essential pillars.
The first pillar is our legacy and scale. With nearly five decades of experience since our establishment in Saudi Arabia in 1977, and having successfully completed more than 90,000 projects globally, we possess a profound level of expertise that is evident in every structure fabricated at our Vietnam facilities.
The second pillar is our engineering precision. We have the capacity to undertake extensive and technically sophisticated projects, such as the 20,000-ton steel plant in Bangladesh and the 25,000-ton facility in Malaysia. In Vietnam, notable examples of our large-scale projects include the VinFast electric battery plant in Vung Ang, Ha Tinh, which incorporates 6,000 tons of steel structure; the Nghi Son steel plant in Thanh Hoa, which is being executed in two phases and utilizes more than 9,000 tons of steel structure; and the manufacturing facility developed for Hayat Kimya Vietnam in Binh Phuoc, which employs 4,000 tons of steel structure. These projects are significant engineering achievements that clearly set us apart from other fabricators. Additionally, we have incorporated automation and robotics at scale to enhance precision during the manufacturing process and improve our overall plant performance.
The third pillar is our integrated quality. We provide a comprehensive, end-to-end solution, encompassing everything from initial design to fabrication and erection support. Our distinctive features include strict adherence to international engineering standards, meticulous quality control processes, and a proven track record of reliability over the past 29 years in Vietnam. Clients select our services for the assurance, efficiency, and peace of mind we provide.
As the first Saudi investor in Vietnam and a company deeply embedded in the country for nearly three decades, how does Zamil Steel view the evolving strategic and economic partnership between Saudi Arabia and Vietnam? How does the company uniquely position itself to benefit from and contribute to this growing relationship within the construction and industrial sectors?
Zamil Steel takes pride in being a pioneer in Saudi-Vietnam economic relations. As the first Saudi investor in Vietnam, we have served as a proof of concept for other Gulf investors, demonstrating that Vietnam is a stable, welcoming, and high-growth environment.
When Zamil Steel invested in Vietnam in 1997, we were not just constructing a factory; we were creating a bridge between Saudi Arabia and Vietnam. Today, as both nations seek to strengthen their economic ties under Saudi Vision 2030 and Vietnam’s integration into global supply chains, our company stands at the intersection of these two emerging economies, exemplifying successful Saudi-Vietnam cooperation.
Our continuous presence and expansion in Vietnam demonstrate that Saudi investment can be long-term, mutually beneficial, and resilient. We contribute by transferring advanced steel fabrication technologies, creating high-quality jobs, and supporting Vietnam’s ambition to become a manufacturing hub. In return, Vietnam offers us an unmatched strategic location and a business-friendly environment.
We actively encourage other Saudi and Gulf investors to follow our lead and regularly share our positive experiences with government and business delegations from both countries.
Zamil Steel emphasizes excellence in quality and service. What concrete steps and investments are being made, particularly with the Dong Nai expansion, to ensure your products and services not only meet but exceed international standards and client expectations in this next phase?
The expansion of our factory is strategically focused on achieving a technological leap through the implementation of advanced automated fabrication lines and a digital quality-tracking system. We are allocating significant investment toward several key initiatives:
First, next-generation automation. This initiative aims to substantially reduce human error during the fabrication process, thereby ensuring maximum accuracy in fit-up and fabrication.
Second, digital planning through Building Information Modeling (BIM). This enhances our ability to coordinate seamlessly with other construction disciplines on site, reducing clashes, delays, and costly rework.
Third, capacity enhancement. We are improving our ability to manage larger tonnages while simultaneously reducing lead times.
At Zamil Steel, we define quality as encompassing the entire client journey, from the initial drawing to the final bolt.
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