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THE MINISTRY
OF INDUSTRY AND TRADE
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SOCIALIST
REPUBLIC OF VIETNAM
Independence– Freedom – Happiness
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No. 583/QD-BCT
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Hanoi,
February 13, 2012
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DECISION
APPROVING THE MASTER PLAN ON DEVELOPMENT OF THE VIETNAM CASTING SECTOR
DURING 2009-2020, WITH CONSIDERATION TILL 2025
THE MINISTER OF INDUSTRY AND TRADE
Pursuant to the Government’s
Decree No. 189/2007/ND-CP , of December 27, 2007 defining the functions, tasks,
powers and organizational structure of the Ministry of Industry and Trade;
Pursuant to the Government’s
Decree No. 44/2011/ND-CP , of June 14, 2011 on amending and supplementing
Article 3 of the Government’s Decree No.189/2007/ND-CP, of December 27, 2007,
defining the functions, tasks, powers and organizational structure of the
Ministry of Industry and Trade;
Pursuant to the Decision No.
186/2002/QD-TTg , of January 16, 2002 of the Prime Minister approving the
strategy on development of Vietnam’s mechanical engineering industry till 2010,
with vision to 2020;
Pursuant to the Government’s
Decree No. 92/2006/ND-CP, of September 07, 2006 and Decree No. 04/2008/ND-CP,
of January 11, 2008 on amending and supplementing a number of articles of the
Decree No.92/2006/ND-CP, on formulation, approval and management of the master
plan on socio-economic development;
Pursuant to the Decision No.
2069/QD-BCT, of April 29, 2009 of the Minister of Industry and Trade on direct
appointment of contractor to implement project on zoning for development of the
Vietnam casting sector during 2009-2020, with consideration till 2025;
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At the proposal of Director of
Heavy Industry Department,
DECIDES:
Article 1. To approve the master
plan on development of the Vietnam casting sector during 2009-2020, with
consideration till 2025 with the principal contents as follows:
1. Viewpoint of development
a) Casting products are importance
supporting industrial products, the casting development aims to develop the
supporting industry of Vietnam and to meet demand of economy, contribute in
restraining trade deficit;
b) Development of the Vietnam casting
sector must be conformable with the strategy on development of Vietnam’s
mechanical engineering industry till 2010, with vision to 2020 that has been
approved by the Prime Minister at the Decision No. 186/2002/QD-TTg , of December
26, 2002;
c) Developing the Vietnam casting
sector that will be stable, sustainable, friendly with environment, have
inheritance of the regional and international, advanced and modern science and
technology;
d) Developing the Vietnam casting
sector aims to service for socio-economic development and for national defense.
2. Orientation of
development
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- To proceed to manufacture of
casting details with quality and high degree of accuracy in order to replace
import goods and to export.
3. Objectives of
development
3.1. General objectives:
- Till 2020, meeting a large part of
demand of the casting products for domestic market in trades: Mining,
construction, transport, mechanical engineering, and demand of defense, having
a part for export;
- Till 2025, producing the casting
products with high quality in order to replace import, proceeding to export.
3.2. Specific objectives:
- Value of production: By 2015, value
of production will attain about 998 million USD, by 2020 attain about 1519
million USD and by 2025 attain about 3078 million USD;
- Value of export: By 2015, value of
export will attain about 50 million USD, by 2020 attain about 152 million USD
and by 2025 attain about 619 million USD.
4. The master plan on
development of the Vietnam casting sector
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Key products of casting sector
include:
- Machine parts to manufacture types
of diesel engine for motive power machine and agricultural machine sector,
transport: Body of machines, interlock, motor sheath, set of diesel engine
(piston set, piston, cylinder, cylinder liner, and piston ring), crankshaft,
etc, details for pump machine of all kinds.
- Machine parts for mechanical
engineering: body, machine foundation, driven part, etc of tool machines,
synchronous equipment for many various industries;
- Machine parts for cement sector:
Grinding balls, grinding side, grinding plate, lining plate, etc
- Other machine parts for mining:
Shovels, equipment for transport;
- Machine parts for metallurgy:
Roller of all kinds, embryo casting, forging steel;
- Machine parts for electrical
equipment sector: Types of motor, rotor, turbine;
- Machine parts for oversize and overweight equipment in the mining, ship,
crane sectors: Bracket to shift tram of up 30 tons, casting parts for cranes,
gantry cranes of 100 tons or more such as rotary table, types of gear with
weight of up 10 tons, sole, transport chain, screw-propeller of sea ship, etc.
- Products in service for defense
such as types of chain for tanks, armored tanks, types of mortar shells, DKZ;
some types of product parts for firecrackers, planes, rockets, etc.
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a) Regarding products:
- By 2020, satisfying about 50 – 60%
of demand on the domestic casting products;
- By 2025, satisfying about 73% of
demand on the domestic casting products;
b) Regarding technology and materials
for casting sector:
- Regarding technology:
+ By 2015: producing the
commonly-used casting products, designed technology under orders of industries,
process of forming and aloy satisfying domestic demand;
+ During 2015-2025: may produce many
types of commonly-used casting products and products meeting high quality and
stability of the casting alloy and shape of parts; apply many advanced casting
methods and have scientific measures to test product;
+ After 2025: shall produce almost
casting products with high quality, complex shapes based on calculation of
design, imitation of process of producing materials and shaping, ensure that
the casting products will have high technical and economic competitiveness.
- Regarding materials for casting
sector:
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4.3. The general investment
capital
- Till 2015: about 645 million USD;
- During 2016-2025: about 592 million
USD;
- Total capital during period till
2025: about 1537 million USD;
4.4. The sources to raise capital
Including the capitals from
preferential loans, capitals assisted by state, foreign direct investment
capitals and other capital sources.
5. Principal solutions and
policies
5.1. Solutions:
a) Regarding market:
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- Uninterruptedly updating and
announcing the casting products that produced domestic, do as basis of setting
up the technical barrier aiming to encourage rationally for products produced
in home country;
- Encouraging enterprises to
participate in searching export market.
b) Regarding investment:
- To prioritize investment in
producing the casting products which use high technology, technology friendly
with environment, technology spending fewer material natural resources and ,
creating products with competitive quality and price;
- Projects producing the casting
products by state capital shall be considered to apply form of direct
appointment of contractor or domestic bidding as prescribed by current law;
- To hasten the implementation of
projects on production of casting products in prioritized industries, spearhead
industries. To concentrate on depth investment, technological and equipment
renewal.
c) Regarding science research
and technological transfer:
- The domestic enterprises
manufacturing the casting products in service for projects investing in
production of key mechanical products shall be assisted from capital source of
the National Fund of science-technology assistance for cost of technology
transfers, purchase of copyright design, software, hiring foreign experts,
training human resource;
- To assist for individuals and
enterprises of all economic sectors to participate in activities of research
and creativeness. To encourage facilities in research to open joint-venture,
international linkage and cooperation;
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d) Regarding human resource:
- To prioritize to select and send science
officers, officers as managers of casting sector to go abroad for training in
developed countries;
- To renew vocational training,
training under demand of society. To prioritize to upgrade facilities training
human source for the casting sector.
dd) Regarding finance:
To assist through tax policies in
conformity with regulations of WTO and international commitments of Vietnam. To
apply flexibly methods of tax calculation, use effectively tax to prevent
dumping and antagonistic tax aiming to protect the domestic production, in
conformity with commitments of WTO and regulations of current law.
e) Other solutions:
- To strengthen role of associations
and the Casting – Metallurgy- technical- science Association in order to
reinforce the relationship among enterprises, enhance the capacity in
competition and information exchange on market, technology and investment;
- To strengthen international
cooperation in order to receive and seize control of experiences, technology,
advanced equipment of world for development of the Vietnam casting sector.
5.2. Policies:
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Article 2.
Organization for implementation
1. The Ministry of Industry and Trade
shall assume the prime responsibility for, and coordinate with relevant
ministries, branches and People’s Committees of central-affiliated cities and
provinces in announcement of the master plan and direction to guide
implementation of the master plan.
2. Ministries of:
Planning and Investment, Finance, Construction, Defense, Science and
Technology, Health, Education and Training, etc, under their function, shall
coordinate with the Ministry of Industry and Trade to concretize policies,
solutions stated in this Decision.
3. People’s Committees of
central-affiliated cities and provinces, on the basis of the approved master
plans, shall coordinate, facilitate for projects, programs on the casting
sector development to be implemented synchronously and in conformity with the
plan on industrial development and the local master plans on socio-economic
development;
4. The relevant professional
associations shall coordinate with ministries, branches in propagation,
guidance for member enterprises to have orientation and plan on production and
business development in conformity with the master plan.
Article 3. This Decision takes
effect on the day of signing.
Article 4. Ministers, Heads of
ministerial-level agencies, Heads of Governmental agencies, the Presidents of
People’s Committees of central-affiliated cities and provinces and relevant
agencies shall implement this Decision.
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ANNEX
A FEW OF PROJECTS PRIORITIZED FOR
INVESTMENT IN NEXT YEARS
(Enclosed with the Decision No. 583/QD-BCT, of February 13,
2012)
No.
Name
of projects
Capacity
(tons/year)
The
total estimated investment level (million USD)
Investment
location
Estimated
time
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2016-2025
1
The Cong River Diesel Plant
5,000
Invested for expansion
10
Thai
Nguyen
2012 - 2015
2
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30,000
380
Hai
Phong, Quang Ninh
2009 - 2016
3
The HAMECO mechanical Plant
(moving)
20,000
15
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Bac
Ninh
2012
4
The Dung Quat Heavy mechanical
Plant No.3
30,000
250
Quang
Ngai
2008 - 2012
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The Hai Duong pump and fan
manufacturing Plant
15,000
Invested for expansion
20
Hai
Duong
2010 - 2015
6
The Hai Phong plant of
manufacturing gearbox
20,000
Invested for expansion
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Hai
Phong
2010 - 2015
7
The Hai Duong valve Plant
10,000
20
Hai
Duong
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8
NAKYNO machine accessories Company
No. II
200,000
Pitton/year (Depth Investment)
6
Ho
Chi Minh City
2010 - 2015
9
The plant in Dung Quat, Quang Ngai
The plant in Binh Duong: Moulding sand and clay
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60
Quang
Ngai and Binh Duong
2010 - 2015
10
Di An train plant
5,000
Invested for expansion
14
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2010 - 2015
11
02 plants for pressure casting
aluminum alloy, casting aluminum by furan plastic and sand mould
2 x
10,000 Invested for new one
80
Cong
River in Thai Nguyen and Ho Chi Minh City
2010 - 2015
12
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~
100,000 Invested for new one
4
Phu
Hoa and Di Linh, Quang Ngai
2010 - 2015
13
Enterprise of fire-resistant
material production
42,275
Invested for new one
16
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Thai
Nguyen
2010 - 2015
14
Plant of nodular- cast- iron pipe
casting in the central of Vietnam
30,000
Invested for new one
40
Dung
Quat
2016 - 2020
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The plant of casting pellets,
lining plates in Ba Ria – Vung Tau
~
20,000 Invested for new one
52
Ba
Ria – Vung Tau
2016 - 2020
16
Plant of manufacturing tool
machines in Bac Ninh and Binh Duong
~ 20,000
Invested for new one
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80
Bac
Ninh and Binh Duong
2016 - 2020
17
Plant of casting parts by nodular-
cast- iron in Bac Ninh
~
15,000 Invested for new one
60
Bac
Ninh
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18
A casting plant in service for bulding
ship in Hai Phong
~
10,000 Invested for new one
40
Hai
Phong
2016 - 2020
19
The plant of casting grinding
balls, lining plates in Quang Ninh
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40
Quang
Ninh
2016 - 2020
20
Plant of manufacturing tool machine
~
20,000 Invested for new one
80
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2021 - 2025
21
Plant of casting nodular- cast-
iron in Hochiminh City
~
15,000 Invested for new one
60
Hochiminh
City
2021 - 2025
22
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~
10,000 Invested for new one
40
Ba
Ria – Vung Tau
2021 - 2025
23
Building a complete system of
satellite enterprises
50
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The
North – Central – South of Vietnam
2021 - 2025
The
investment capital in periods (million USD)
945
592