Vietnam’s Biggest Steelmaker Said to Shut a Furnace for 3 Months

Hoa Phat Group, Vietnam’s biggest listed steelmaker, will halt production at a blast furnace for three months for periodic maintenance, according to a person familiar with the matter.

(Bloomberg) — Hoa Phat Group, Vietnam’s biggest listed steelmaker, will halt production at a blast furnace for three months for periodic maintenance, according to a person familiar with the matter.

The furnace, located in the northern province of Hai Duong, will cease operations starting in September, said the person, who asked not to be named as the information is still private. The furnace has a production capacity of around 1 million tons per year, according to the person. 

Hoa Phat’s total steel sales decreased 23% this year through July to 3.46 million tons, the company said in an emailed statement Monday. Hoa Phat reported profit after tax at 1.45 trillion dong ($61 million) in the second quarter, down 64% from the same period last year. 

Read: Top Vietnam Steelmaker Hoa Phat Halts Output at 4 Blast Furnaces

The company shut down four blast furnaces last November due to declining demand. All have resumed operations. Hoa Phat has a total seven blast furnaces. 

Shares of Hoa Phat have risen 54% so far this year after falling 50% last year.

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