Key Takeaways
- Production capacity: the complex will reach 9.5 million tonnes of green steel annually across 400 hectares in Nam Dinh province.
- Technology: no coke involved, production based on LNG and future green hydrogen, with electric arc furnaces and direct reduction units supplied by Primetals Technologies.
- Emissions reduction: CO₂ cut by up to 86% compared to traditional methods, with an integrated supply chain from Angola achieving a negative carbon balance.
A $3.7 Billion Investment
The Xuan Thien Group broke ground on June 23, 2025, on its green steel complex in Nam Dinh province, Vietnam. The total investment amounts to roughly 98,000 billion VND, equivalent to $3.7 billion, spread across more than 400 hectares. At full capacity, the plant will produce 9.5 million tonnes of green steel per year.
The project consists of two facilities. The first, called the Xuan Thien Nam Dinh Green Steel Plant No. 1, will produce 7.5 million tonnes annually of hot-rolled sheets and coils, including specialty steels for automotive and shipbuilding not yet manufactured in Vietnam. The second, the Xuan Thien Nghia Hung Green Steel Plant, will have a capacity of 2 million tonnes annually of finished steel from scrap via electric furnaces.
Zero Coke, Primetals Technology
The complex completely eliminates the use of coke, replaced by liquefied natural gas in the initial phase and later by green hydrogen. The combination of electric arc furnaces and direct reduction plants powered by clean sources allows for a CO₂ emissions cut of up to 86% compared to conventional blast furnace processes.
In December 2025, the group signed a partnership with Primetals Technologies for the supply of two production lines: one dedicated to heavy plates, the other to hot-rolled coils using continuous-cycle Arvedi ESP technology with reduced energy consumption.
An Integrated Supply Chain from Angola
The project's sustainability extends beyond Vietnam's borders. In Angola, where the group holds an iron ore mine with reserves of hundreds of millions of tonnes, a forestation plan is underway across more than 1 million hectares of eucalyptus to produce charcoal for processing green iron. This production cycle is designed to achieve a negative carbon balance of 0.7 tonnes of CO₂ per tonne of product. The group is also conducting gas and oil exploration activities in the African country.
Effects on Vietnam's Economy
The complex will generate more than 21,000 jobs and an estimated annual contribution to the state budget of 20,000 billion VND. At the groundbreaking ceremony, Deputy Prime Minister Le Thanh Long called the project an example of the private sector's contribution to national development, in line with commitments Vietnam made at COP26.
The first steel production is expected in June 2028, with completion of the entire complex set for June 2030.
