New Blending Capacity in Southern Vietnam 

Share

Scooters on the streets of Ho Chi Minh City.

Vietnam’s Tay Sai Gon Group completed a blending plant in Long An province last month with capacity of 100 million liters per year.

The expansion adds significant blending capacity in Vietnam’s southern hub, strengthening Tay Sai Gon’s position in a competitive market. With motorcycles driving demand and industrial uses on the rise, the new plant can benefit from established and high‑growth segments.

Situated in Long An, near numerous upcoming industrial parks, the facility should enjoy logistical advantages for serving transport and manufacturing markets.

The group began as a family business in the late 1990s, importing lubricants from Europe, the U.S., Japan and Korea for Vietnam’s domestic market. In 2007 it formed a joint venture with a Japanese investor and built a blending plant in Ben Luc district, Long An, with a capacity of 20,000  metric tons per year.

Lubricant blending capacity is mainly in southern Vietnam. Major plants include BP/Castrol’s 50,000 t/y unit, JX Nippon Oil & Energy’s 40,000 t/y facility and AP Saigon’s 30,000 t/y plant.

Today Tay Sai Gon markets automotive and industrial lubricants and specialized oils for the transport and manufacturing sectors. No further details about the new plant were disclosed. The company did not respond to inquiries.

According to Vietdata, Long An province is projected to have 51 industrial parks spanning nearly 12,500 hectares by 2030.

Vietnam’s lubricant consumption is rising steadily, with the market expected to grow from about 324.6 million liters in 2025 to around 420.2 million by 2030.

The automotive sector accounts for around 81% of total lubricant use, led by engine oils. Motorcycles dominate the vehicle fleet, making motorcycle engine oils the biggest automotive lubricant product category by volume.

Industrial sectors such as power generation, construction and mining are emerging as high‑growth users; hydraulic fluids are expected to grow fastest in coming years. The market is moderately consolidated: The five largest firms hold a combined market share of about 65 percent. These include Castrol, Mekong Petrochemical, Petrolimex, Shell and TotalEnergies.

Related Topics

Latest Headlines    Plants & Equipment    Region    Southeast Asia    Vietnam