FECON cooperates with Japanese partners to set up a joint venture of manufacturing tunnel lining

FECON, together with Song Day Construction Materials JSC, and Japanese partners Nippon Concrete, Asahi Concrete and Global Works signed an MOU on the investment in establishing a joint venture to manufacture tunnel lining in Viet Nam.

[caption id="attachment_12037" align="aligncenter" width="640"] FECON cooperates with Japanese partner to set up a joint venture of manufacturing tunnel lining[/caption]

A representative of FECON said that the joint venture has a chartered capital of US $ 6 million, in which contributed capital portion of each parties are Nippon Concrete 50.5%, Song Day 24.5%, FECON 24.5% and Asahi Concrete 0.5%, respectively. The factory location will be located in Bac Ninh.

According to the plan, the joint venture agreement will be signed in December 2018 and business liscence will be registered in Mar 2019 At the signing ceremony, the Japanese side highly valued the prospect of the upcoming JV in Vietnam. Thanks to the promotion of international economic cooperation policies, in recent years Vietnam has maintained a high growth economy focused on infrastructure development. Standing out of this development is metro lines project, which has attracted public attention. Only in Hanoi, there are 7 subway lines which do not only use domestic capital but also ODA from Japan poured into the field. Earlier, in 2016, FECON had intended to invest and successfully tested produce lining concrete for subway projects. This was a relatively new field in Vietnam. However, since that time, FECON expected that with determination to contribute for the sustainable development of infrastructure systems in Vietnam, we have been gradually contributing to increase the localization rate in the highly technical requirement infrastructure projects that have been done by foreign contractors for many years.

It is known that Nippon Concrete is the leading manufacturer of concrete tunnel lining in Japan with 70 years of operation. Asahi is a company specialized in manufacturing and trading canisters, cisterns and cisterns and Global Works is a company specializing in consulting, surveying and evaluating concrete. FECON is the first Vietnamese contractor to operate TBM at Metro Line 1 Ho Chi Minh City (Ben Thanh - Suoi Tien project). Song Day is an enterprise specializing in the production of concrete sluice and precast concrete components with many years of experience and prestigious brand in the field of construction materials.

Source: CafeF