This year, the cement industry has targeted exporting about 25 million tonnes of cement and selling 69 to 70 million tonnes in the domestic market. (Photo: tinnhanhchungkhoan.vn) Hanoi(VNS/VNA) - The prospects of cement enterprises in the second half of the yearwill continue to improve, especially during the construction season at the endof the year, according to Chairman of the Vietnam Cement Association (VNCA)Nguyen Quang Cung.
According to analysisby financial data and business information providerFiinGroup, the production capacity of Vietnam's cement industry is expected toincrease sharply thanks to the strong expansion of local private enterprises,including Thanh Thang Group Cement JSC, Vissai Group, ThaiGroup Corporation(formerly known as Xuan Thanh Group) and Long Son Co Ltd.
Many of the newfacilities are located in central Vietnam, where demand for cement isrelatively low compared to the north and the south. It seems these privatebusinesses are targeting the export market, FiinGroup said.
This year, theindustry has targeted exporting about 25 million tonnes of cement andselling between 69 and 70 million tonnes domestically.
Statistics from theGeneral Department of Vietnam Customs showed that in the first five months ofthis year, the cement industry exported more than 13.8 million tonnes, ayear-on-year increase of 4 percent in volume and 23.2 percent in value.
These are impressiveresults in the context of continued trade defense lawsuits filed by countriesboth inside and outside the region against Vietnamese cement exporters.Currently, Vietnam is exporting cement products to at least 40 markets.
Cung told newssite tinnhanhchungkhoan.vn that the outlook of localcement businesses has improved thanks to the positive export results. Exportvolume is likely to exceed 32 million tonnes this year. The share of exportsthat are cement rather than lower-cost clinker is increasing, driving upoverall export value.
Therefore, the cementsector is likely to prosper in the last six months of 2019, especially in theconstruction season at the end of this year.
However, Cung saidbusinesses with out-of-date technology and small-scale production still facedifficulties because they cannot export their products. To remedy this,businesses must invest in hi-tech, environmentally friendly solutions thatsave energy.
The growth of cementcompanies is still large; according to FiinGroup’s forecast, Vietnam'scement market will reach equilibrium by 2028. Based on the analysis ofmacroeconomics and historical cement demand since 2000, growth in demandis forecast at 5 percent per year until 2030.-VNS/VNA
According to analysisby financial data and business information providerFiinGroup, the production capacity of Vietnam's cement industry is expected toincrease sharply thanks to the strong expansion of local private enterprises,including Thanh Thang Group Cement JSC, Vissai Group, ThaiGroup Corporation(formerly known as Xuan Thanh Group) and Long Son Co Ltd.
Many of the newfacilities are located in central Vietnam, where demand for cement isrelatively low compared to the north and the south. It seems these privatebusinesses are targeting the export market, FiinGroup said.
This year, theindustry has targeted exporting about 25 million tonnes of cement andselling between 69 and 70 million tonnes domestically.
Statistics from theGeneral Department of Vietnam Customs showed that in the first five months ofthis year, the cement industry exported more than 13.8 million tonnes, ayear-on-year increase of 4 percent in volume and 23.2 percent in value.
These are impressiveresults in the context of continued trade defense lawsuits filed by countriesboth inside and outside the region against Vietnamese cement exporters.Currently, Vietnam is exporting cement products to at least 40 markets.
Cung told newssite tinnhanhchungkhoan.vn that the outlook of localcement businesses has improved thanks to the positive export results. Exportvolume is likely to exceed 32 million tonnes this year. The share of exportsthat are cement rather than lower-cost clinker is increasing, driving upoverall export value.
Therefore, the cementsector is likely to prosper in the last six months of 2019, especially in theconstruction season at the end of this year.
However, Cung saidbusinesses with out-of-date technology and small-scale production still facedifficulties because they cannot export their products. To remedy this,businesses must invest in hi-tech, environmentally friendly solutions thatsave energy.
The growth of cementcompanies is still large; according to FiinGroup’s forecast, Vietnam'scement market will reach equilibrium by 2028. Based on the analysis ofmacroeconomics and historical cement demand since 2000, growth in demandis forecast at 5 percent per year until 2030.-VNS/VNA
VNA
