Taiwan’s
Formosa delays plant opening in Vietnam: report
Formosa Plastics Group has decided
to postpone the launch of its steel mill in Vietnam with no new opening
schedule, Taipei Times reported Thursday.
The
newspaper quoted Formosa Ha Tinh Steel Corp's Vice President Chang Fu-ning as
saying that the No. 1 furnace of the steel complex, which is located in the
Vung Ang Economic Zone in the central province of Ha Tinh, would not become
operational on June 25 as scheduled.
According
to Taiwanese media, the delay was because Vietnamese authorities have
demanded that Formosa pay US$70 million in unpaid taxes.
In
addition, the delay reportedly was because Vietnamese authorities needed more
time to process an application filed by Formosa to begin production.
Chang
said his company has communicated with Vietnam’s Ministry of Finance over the
alleged failure to pay taxes.
Construction of the US$10 billion Formosa Ha Tinh
steel complex started in December 2013. It has a projected annual
capacity of 7.5 million tons targeted for domestic consumption and export to
other Asian nations.
The project includes a port and a power plant that are
set to be completed by the end of 2020.
The
Taiwanese company has been in hot water after hundreds of tons of fish were
washed ashore in April in Ha Tinh, Quang Binh, Quang Tri and Thua Thien-Hue
provinces, apparently killed by industrial effluents.
Formosa
Ha Tinh admitted it has a large sewage pipe going straight into the sea
but claimed all its discharged wastewater had been treated.
On
June 2 Vietnamese authorities said they would reveal the cause of the mass
fish deaths this month.
It is not clear if the fish kill scandal is
connected to the steel mill's delay in any way.
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Thứ Sáu, 17 tháng 6, 2016
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