Vietnam’s state-run chemical juggernaut establishes Brazilian partnership
Vietnam’s state-run chemical juggernaut establishes Brazilian partnership
The Vietnam National Chemical Group (Vinachem) signed a memorandum of understanding (MoU) with Oceanside One Trading LLC in Brazil on Sunday to strengthen their ties and elevate their bilateral relationship to a strategic, equitable, and mutually beneficial level.
Vietnamese Prime Minister Pham Minh Chinh (R) shakes hands with Roger Zen, chairman and CEO of Oceanside One Trading in Brazil, November 17, 2024. Photo: H.H. |
The signing event took place in the presence of Vietnamese Prime Minister Pham Minh Chinh, who is on his official trip to attend the G20 Summit and bilateral activities in Rio de Janeiro from November 16 to 19.
The MoU covers diverse areas of collaboration, including production, trade, and research and development.
Vinachem and Oceanside One Trading will cooperate to produce and distribute tires, fertilizers, chemicals, and related products.
They will also collaborate on market research, business expansion, supply chain management, transportation, and highly skilled workforce development.
Both sides will target double-digit annual growth across various sectors through this deal.
Once the deal is implemented, Vinachem expects to boost its trade with Brazil to US$500 million annually by 2030.
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| Vietnamese Prime Minister Pham Minh Chinh (L, 3rd) attends the MoU signing ceremony between Vietnam’s state-run chemical giant Vinachem and Oceanside One Trading in Brazil, November 17, 2024. Photo: H.H |
Vinachem, a leader in the fertilizer and chemical industries, has an annual production capacity of over 10 million metric tons of fertilizers, more than seven million tires, over one million metric tons of chemicals and detergents, and upwards of 250 million batteries.
It maintains an annual trade volume exceeding $700 million with partners in more than 70 countries and territories.
The Vietnamese chemical giant has also been striving to expand its collaborations with major reputable partners at home and overseas to seek opportunities and unlock the potential for Vietnam's agricultural and industrial sectors.
Oceanside One Trading is a leading American trading conglomerate headquartered in the U.S., with subsidiaries in Brazil. Its annual trade value surpasses $2 billion.
Both sides are optimistic about deepening their collaboration in the following years, as there is significant potential for economic and trade cooperation between Vietnam and Brazil, which has already been proven through the almost 20-year partnership between Vinachem’s subsidiary, Danang Rubber Joint Stock Company, and Oceanside One Trading LLC.
In 2024, Vinachem’s trade turnover in Brazil is projected to surpass $90 million, nearly double that from 2021, and is projected to sustain this trajectory in the future.
Vinachem’s tire products under the Danang Rubber and Casumina brands have gained strong consumer trust in Brazil and have been introduced to multiple South American markets.
