Orion Food Vina Builds 3rd Factory in Vietnam

Orion’s Vietnam Market Yields $87 Million Q1 Revenue

Korean confectioner Orion Food Vina demonstrates a strong and sustained commitment to the Vietnamese market. This investment strategy is directly supported by the region’s robust financial performance. Vietnam significantly contributes to Orion’s overall revenue and global growth trajectory. During a recent first quarter, Orion generated a substantial $87 million in total sales revenue from its Vietnamese operations.

This impressive financial figure highlights the tangible benefits derived from the company’s strategic presence. The robust sales validate ongoing strategic expansions, such as the new factory project. Orion identifies Vietnam as a pivotal market due to its consistent and strong economic contributions. This strong market performance underpins the confectioner’s continued global success.

Strategic Investments in a Dynamic Market

Vietnam consistently proves itself as a highly dynamic and high-growth market for Orion. This thriving landscape directly justifies the company’s continuous strategic investments. Such significant commitments include the recent groundbreaking for Orion Food Vina’s third factory in Vietnam. This crucial expansion aims to significantly boost local manufacturing capacity and enhance distribution networks.

The market’s rapid development continually creates ample opportunities for deeper penetration. Orion’s specific sales figures clearly underscore these remarkable financial advantages. These benefits are directly linked to the company’s dedicated and efficient operations in the Vietnamese market. Thus, Orion strategically allocates resources to maximize these proven returns.

Evidencing Strong Financial Performance

The financial data provides a clear and compelling rationale for these significant commitments. Orion experienced a remarkable 12% Q1 sales boost in Vietnam. This percentage increase signifies strong consumer demand and effective market penetration strategies. This consistent sales growth forms a solid economic basis for further capacity expansion and innovation.

Beyond the impressive first-quarter results, Orion’s broader performance in Vietnam showcases consistent and substantial returns. The company reported earning $43 million from Vietnam during a recent January-September period. These cumulative figures collectively highlight the market’s crucial and growing role for the confectioner. Therefore, continuous expansion aligns perfectly with a proven track record of profitability.

The consistent growth in sales provides a strong economic rationale for expanding manufacturing capacity. This strategic move ensures Orion can meet increasing consumer demand effectively. It also positions the company for sustained market leadership and further revenue generation. Orion remains committed to its long-term vision within this pivotal Asian market.

52,600 Square Meter Bac Ninh Plant Targets October 2026 Production

Korean confectioner Orion Food Vina has commenced construction on its third factory in Vietnam. This significant investment is dedicated to flexible packaging production, with completion targeted for late 2026.

Strategic Expansion in Northern Vietnam

The new Yen Phong 2C plant in Bac Ninh province represents a substantial physical expansion for Orion. The facility covers an area of 52,600 square meters within the Yen Phong 2C Industrial Park.

This strategic location in a northern industrial province reinforces Vietnam’s position. It underscores the nation’s growing importance as a manufacturing hub for Orion’s broader Southeast Asian operations.

Locating production capabilities in this region streamlines supply chains. It also enhances distribution networks across the key markets of Southeast Asia.

Diversifying Production and Enhancing Efficiency

This project marks Orion’s initial venture into flexible packaging manufacturing within Vietnam. It signifies a crucial diversification of the company’s production focus.

The new plant will incorporate a dedicated film production workshop. It will also feature a modern logistics warehouse, integrating various stages of production.

Investing directly in flexible packaging capabilities allows Orion to control more aspects of its product lifecycle. This vertical integration promises enhanced operational efficiency and quality assurance.

The diversified production focus addresses evolving market demands. It also strengthens Orion Food Vina’s competitive edge in the regional snack industry.

Key Project Milestones and Investment Scope

The expected construction duration for the new plant is 14 months. Operations are targeted to commence by October 2026, meeting the late 2026 completion goal.

This third factory in Vietnam signifies a significant investment by Orion Food Vina. The project reinforces the Korean confectioner Orion Food Vina’s commitment to the Vietnamese market and regional growth.

The facility is designed to support the growing demand for its confectionery products. It establishes a robust foundation for future expansion across Southeast Asia.

Critical project data includes:

• Facility coverage area: 52,600 square meters in Yen Phong 2C Industrial Park, Bac Ninh province.
• Expected construction duration: 14 months.
• Target completion month: October 2026.
• Production focus: Orion’s first investment in flexible packaging in Vietnam, including a film production workshop and modern logistics warehouse.

Third Vietnam Site Expands Packaging, Adds 8 Confectionery Lines

The Yen Phong 2C plant represents a significant new chapter for Korean confectioner Orion Food Vina, marking its third manufacturing site in Vietnam. This strategic development significantly expands the company’s regional production capabilities. A meticulously planned phased approach will integrate state-of-the-art film and confectionery lines, bolstering Orion’s operational strength in Southeast Asia.

Orion’s Enduring Investment Strategy in Vietnam

Orion’s deep-rooted commitment to Vietnam is demonstrated by its cumulative factory presence. The Yen Phong 2C plant follows the successful establishment of the My Phuoc facility in Binh Duong in 2005, and the original Yen Phong plant in Bac Ninh, operational since 2007. This progressive expansion highlights Vietnam’s undeniable importance as a key strategic manufacturing hub for Orion’s regional operations.

This long-term investment strategy reflects a structured approach to market growth and supply chain optimization. The company aims to substantially increase both its packaging material output and traditional confectionery production. Such strategic growth is critical for meeting rising consumer demand across the dynamic Southeast Asian market.

Phased Development: Boosting Initial and Long-Term Capacity

The development of the Yen Phong 2C plant is carefully orchestrated across distinct phases, ensuring a systematic and efficient ramp-up of operational capacity. The initial phase is designed to establish foundational infrastructure and immediate production capabilities. Key elements included in this first stage are:

• A single-story film production workshop featuring two dedicated production lines. These lines are essential for packaging materials crucial to Orion’s diverse product range.
• A robust 10,000 pallets warehouse capacity, integrated for optimal logistics. This large-scale storage solution will support efficient material flow and product distribution from the outset.

These foundational investments streamline initial operations. They also prepare the ground for future expansions, underscoring Orion’s commitment to building a resilient and high-volume manufacturing base. The structured rollout minimizes disruption while maximizing long-term efficiency.

Anticipating Future Market Demands with Expanded Production

The second phase of the Yen Phong 2C plant development is poised for substantial growth and diversified output. This crucial stage introduces expanded capacity for both film production and confectionery manufacturing. The plans include:

• The addition of four new film lines, which will significantly enhance Orion’s in-house packaging material capabilities. This expansion ensures a steady supply for the growing product lines.
• The integration of eight new confectionery production lines, a substantial increase designed to meet surging consumer appetite. This addresses the demand for Orion’s beloved snacks and sweet treats.

This comprehensive expansion solidifies the commitment of Korean confectioner Orion Food Vina to its Vietnamese operations. It positions the company strongly for sustained market leadership and further regional penetration, effectively driving future growth and innovation.