Grease Plant Construction Starts in Vietnam


Grease Plant Construction Starts in Vietnam
Coating a mechanical device's steel gears with new industrial grease. © Piotr Wytrazek /

Vietnamese Top Solutions Joint Stock Co. has begun constructing a new grease plant in Phuoc Nam Industrial Park. The grease will be for industrial equipment machinery applications.

Vietnam’s lubricants market size is estimated at 308.2 million liters (277,000 metric tons), of which grease is a part. With a population of 95 million and a steadily growing economy, this demand is set to increase in line economic expansion.

The plant is in Ninh Thuan province in the central-southern coast of Vietnam with a land area of 23,100 square meters. The company held a groundbreaking ceremony on March 8, reported local media, and it is expected to be operational by the end of 2024 or early 2025.

Construction is expected to be completed in two phases. In phase one, the plant will have a capacity of 5,000 tons per year of finished products and in phase two, 4,500 tons per year.

Once finished, it will produce lithium-based grease, heat-resistant grease and other grease products for industrial equipment and machinery for the domestic market and export.

According to local media reports, Top Solutions will spend U.S $5.5 million to set up the plant. Financing the project includes investments from Thai and Australian investors.

Phuoc Nam Industrial plant is located near National Highway 1A, the North-South railway line and international seaports. The location gives easy access to the rest of the country and international markets.

Vietnam’s domestic economy is expected to remain stronger than other major economies in South-East Asia, such as Indonesia and Malaysia. According to the World Bank’s Taking Stock Report March 2023, gross domestic product growth is expected to pick up to 6.5 percent in 2024 as the economies of Vietnam’s main export markets gain strength.