THACO Group, a Vietnamese automaker, has proposed a comprehensive circular economy complex dedicated to mining and processing bauxite, with a total investment of VND103 trillion (US$4.1 billion) in Lam Dong Province.

Named the Lam Dong 2 Aluminum Complex, the project is set to unfold across Bao Lam, Da Huoai, and Da Teh districts, along with Bao Loc City. It encompasses the entire bauxite mining and aluminum production process, focusing on environmental restoration, cultivation of agricultural crops, and the development of ecotourism in the region.

THACO plans to contribute nearly one-third of the project’s capital, with the remaining funds sourced through loans.

The Lam Dong 2 Aluminum Complex is structured into three stages, spanning a 10-year timeline, and is anticipated to yield an annual aluminum output of four tons once operational in 2034.

Over the project’s 50-year lifespan, THACO intends to mine bauxite for aluminum production in the initial two decades, followed by a transition to external bauxite supply for the subsequent 30 years. The company aims to swiftly complete the feasibility report and submit it to regulators by the first quarter of 2024.

THACO, a diversified corporation operating in various sectors such as automobiles, agriculture, mechanics, logistics, construction, and commerce, reported a profit after tax of just over VND1 billion for the first half of 2023. This figure represents only 25% of the profit earned during the same period in 2022 when the automotive industry faced challenges.

Lam Dong Province boasts significant bauxite reserves in the Central Highlands region, currently hosting two operational bauxite plants.