Hong Phuc Plastic: Staying resilient amid the “price storm”

As raw material prices continue to surge, supply chains face disruptions, and competitive pressures grow increasingly intense, many supporting industry businesses have been forced to scale back operations or exit the market.

Yet amid this backdrop, Hong Phuc Plastic Co., Ltd. has chosen a different path: staying true to its core values, proactively restructuring, and seeking opportunities within challenges while nurturing new products that reflect a strong sense of responsibility toward the community.

A high-tech production line at Hong Phuc Plastic Co., Ltd. in Bac Ninh Province. (Photo: Vu Phuong)

Resilience in riding the market “waves”

Amid the ever-shifting currents of the economy, businesses in the materials and supporting industries are facing mounting pressure from multiple fronts. Prices of raw materials such as aluminum and plastic continue to rise, driving production costs higher, while the ability to adjust selling prices remains constrained by intense competitive pressure.

Sharing his view on this reality, Mr. Ta Quang Hung, General Director of Hong Phuc Plastic Co., Ltd. (Nenh Ward, Bac Ninh Province), candidly acknowledged that the company is facing a “double challenge”: controlling costs while retaining customers. The pressure stems not only from rising input costs but also from tightened cash flow, growing receivables risks, and the threat of supply disruptions. 

“There were times when the company found itself caught in a ‘cash squeeze from both ends’—input costs surged while outbound payments came in slowly. Without a flexible strategy, it is very easy to be swept into the market’s downward spiral," Mr. Hung shared.

But instead of remaining passive, Hong Phuc Plastic chose to adapt proactively. The company quickly rolled out a series of solutions, including diversifying supply sources to reduce dependency, optimizing operating costs, adjusting its product mix, and gradually refining its management system.

This very flexibility has enabled the company to maintain stability in its production and business operations. After nearly a decade of development, Hong Phuc has built a solid foundation, generating annual revenue of around VND 50 billion and serving many major clients in the electronics, mechanical engineering, and supporting industries.

General Director Ta Quang Hung emphasized that challenges have not slowed the company down; instead, they have compelled it to move more steadily and think further ahead.

Notably, the company’s success stems not only from its scale or revenue but also from its philosophy of sustainable development. Guided by the principles of “TRUST - HEART - WISDOM - SPEED - EXCELLENCE - HUMANITY”, Hong Phuc Plastic consistently places credibility and quality at the forefront, viewing them as its greatest “assets” in retaining customers.

According to Mr. Ta Quang Hung, in challenging times, businesses must return even more firmly to their core values. “We do not pursue growth at all costs. What matters is preserving customer trust and building a foundation strong enough for the long journey ahead," he emphasized.

Beyond strengthening its internal capabilities, the company also highly values the support of local authorities and business associations. Efforts to reform administrative procedures, provide information support, and facilitate market connections have helped ease some of the pressure and enhance the company’s ability to adapt to market fluctuations.

However, to achieve sustainable growth, the company still looks forward to more practical support policies, particularly in terms of access to capital, industrial land planning, and the development of a transparent business environment.

Some of Hong Phuc Plastic’s products

Creating value through responsibility to consumers

Along its growth journey, Hong Phuc Plastic has demonstrated a long-term vision by proactively expanding its product portfolio and exploring new directions.

One of the projects that the leadership team is particularly passionate about is a premium plastic cutting board line, which is expected to be launched soon. This new product line embodies the philosophy of “putting quality and consumer health at the center."

According to Ms. Nguyen Thi Yen, Deputy Director of Hong Phuc Plastic Co., Ltd., the idea for developing this product stemmed from a very practical concern: how to enable Vietnamese consumers to access safe, high-quality products at a reasonable price.

“We have observed that not all products currently available on the market meet health and safety standards. Therefore, the leadership team has been determined to invest in research to develop a premium plastic cutting board line that delivers durability, safety, and a superior user experience”, Ms. Yen said.

The product is expected to fully leverage the company’s strengths in industrial engineering plastics, a field that demands high standards in material quality and manufacturing precision. It also serves as proof of the company’s continuous innovation and transformation from a materials supplier into a manufacturer of products that deliver direct value to consumers.

Hong Phuc Plastic is preparing to launch a premium plastic cutting board line to meet consumer demand. (Photo: Vu Phuong)

Behind this project lies a bigger story, the company’s commitment to social responsibility. At a time when consumers are increasingly concerned about health and quality of life, creating safe products is not only a business opportunity but also a commitment to the community.

At the same time, Hong Phuc Plastic continues to pursue its long-term goals by expanding its market presence, standardizing its management system, and investing in high-quality human resources.

According to the company, people are the decisive factor in its sustainable development. Machinery can be purchased and technology can be learned, but building a dedicated and professional team takes time. That is why the company has always placed strong emphasis on people in its development strategy.

Hong Phuc’s story offers a different perspective on its journey in a highly volatile market where many businesses have been forced out: challenges are not an endpoint but an opportunity to restructure, grow, and affirm resilience.

And perhaps it is in the most challenging moments that a company’s true value is revealed most clearly. After all, adversity is the ultimate test of a genuine enterprise.