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News Ministry of Construction

Displaying items by tag: Ministry of Construction

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Vietnamese clinker exports fall due to coronavirus pandemic

06 April 2020

Vietnam: Data from the Ministry of Industry and Trade shows that clinker exports fell by nearly 40% year-on-year to 7.5Mt in the first quarter of 2020. Clinker export values dropped by 19% to US$360m in the same period, according to the Viet Nam News newspaper. Previously, the Ministry of Construction forecast that cement demand would increase by up to 5% to 103Mt in 2020 due to a recovery in the real estate market. Around a third of this was expected to be exported. Local consumption of cement and clinker grew by 2% year-on-year to 98Mt in 2019.

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Vietnamese cement exports fall by 49% year-on-year in January and February 2020

05 March 2020

Vietnam: Producers exported approximately 2.82Mt of cement in January and February 2020, down by 49% year-on-year from 5.75Mt in the corresponding period of 2019. Vietnam News has reported that this is a result of the coronavirus outbreak. In February 2020 Vietnam’s Ministry of Construction said that Vietnamese cement exporters would face fierce competition as China and Thailand increase exports over the coming year.

Vietnam Cement Association president Nguyễn Quang Cung previously predicted that Vietnamese cement exports would hold steady at 34.0Mt in 2020 before falling by 26% to 25.0Mt in 2021 as a forecasted rise in domestic demand reduces the reliance on low-priced exports. China remains the primary importer of Vietnamese cement, which it buys at US$36.3/t. Domestic demand fell by 37% year-on-year to 2.88Mt in January 2020 from 5.43Mt in January 2019, according to Arab News.

Production rose by 0.1% year-on-year to 13.0Mt in January and February 2020 from 12.9Mt one year previously.

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Vietnamese exports face pressure in 2020

18 February 2020

Vietnam: Cement and clinker production in Vietnam is expected to rise by 4-5% to 101-103Mt in 2020, according to the Ministry of Construction. This includes domestic consumption of 69-70Mt and exports of 32-34Mt.

Chairman of the Vietnam Cement Association Nguyen Quang Cung said that cement demand has expanded at higher pace compared to GDP growth in previous years. He added that cement producers will have to face major challenges in 2020, with rising input costs, environmental and technological issues, as well as increasing wage costs.

Meanwhile, the Ministry of Construction said that Vietnamese cement exporters would face fierce competition as China and Thailand increase exports. It recommended that domestic firms study market trends to adjust their production plans, stabilise cement prices and map out long-term business strategies.

The ministry has asked the Ministry of Industry and Trade to direct the Vietnam National Coal-Mineral Industries Holding Corporation Limited (Vinacomin) to provide sufficient coal, and the Vietnam Electricity to ensure adequate power for cement production activities.

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Vietnamese cement exports up by 0.9% to 8.55Mt in first quarter of 2019

25 April 2019

Vietnam: Data from the Building Materials Department of the Ministry of Construction show that cement exports rose by 0.9% year-on-year to 8.55Mt in the first quarter of 2019. They had a value of US$865m, according to data from the Viet Nam News newspaper.

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Vietnam exports 31.7Mt of cement in 2018

03 January 2019

Vietnam: Data from the Vietnam Cement Association (VNCA) shows that the country’s export volumes of cement rose by 55% year-on-year to 31.7Mt in 2018. Producers generated an estimated US$1.2bn from exports, according to the Viet Nam News newspaper. The VNCA’s Chairman Nguyen Quang Cung attributed growing exports to decreased production in China, where production lines have been closed due to pollution.

The Ministry of Construction has attributed growing exports to better performance in the construction sector. Domestic cement consumption grew by 9% to 65.1Mt in 2018. It estimates that consumption will rise by up to 8% in 2019 to around 99Mt, comprising 69Mt for the local market and 30Mt for export. The main export markets in 2019 are expected to be the Philippines, Bangladesh, China, Taiwan and Peru.

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Prime Minister calls for overcapacity report

26 November 2018

Vietnam: The Vietnamese Prime Minister Nguyen Xuan Phuc has asked the Ministry of Construction and VICEM to report on the country’s excess cement capacity, which is set to reach 25-36Mt/yr by 2020.

The latest statistics from the Ministry of Construction’s Building Material Department show that cement consumption was approximately 45Mt in the first half of 2018, a rise of 30% year-on-year compared to the same period of 2017, and more than 50% of the year’s plan.

The sector’s capacity is 110Mt/yr, including the volume from plants expected to be built in 2018. Aside from that, existing plants have kept improving technology so their production capacity might reach 120-130Mt/yr by 2020.

Three large projects with the total capacity of 10Mt/yr were put into operation in the past 12 months. In 2019 many more projects are expected to come into operation, with a total new capacity of 12Mt/yr coming online.

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Vietnam cement exports rise to over 15Mt in first half of 2018

28 June 2018

Vietnam: Cement exports rose by 50% year-on-year to over 15Mt in the first half of 2018. Estimates from the Construction Materials Department of the Ministry of Construction shows that the country consumed 51.4Mt of cement, an increase of 25%, according to the Viet Nam News newspaper. Cement inventory was 3.1Mt or equivalent to 14 - 15 days of production. High local consumption has been attributed to good weather and growing exports have been attributed to a halt in cement production in a number of cities in China.

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Vietnam has nearly 1.5 times as much cement as it needs

06 November 2017

Vietnam: Vietnam sold 64.6Mt of cement in the first 10 months of 2017, a rise of 4% year-on-year compared to the same period of 2016, according to the Ministry of Construction. Of the sum, 49.3Mt was sold domestically, a 2% year-on-year rise, while 15.3Mt was exported, a rise of 2%.

In October 2017, local firms sold 6.2Mt of cement, including 4.7Mt of domestic sales, and 1.5Mt of exports. As of October 2017, Vietnam had 3.3Mt of cement and clinker inventory, mostly clinker.

At present, Vietnam’s cement output has reached 86Mt/yr, while domestic demand is estimated at only 60Mt. The country is thus predicted to face a surplus of 26Mt of cement overall in 2017, according to the Vietnam Cement Association (VNCA).

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Vietnam cement sales rise in first nine months of 2017

11 October 2017

Vietnam: Vietnam sold 59.3Mt of cement in the first nine months of 2017, a rise of 6% compared to the same period of 2016. The country has now fulfilled 74.1% of its whole-year plan, according to the Ministry of Construction. 45.3Mt of cement was sold domestically, a 4% rise year-on-year, while 14.0Mt of cement was exported.

In September 2017, the country’s cement sales rose by 9.4% compared to August 2017 to 6.7Mt, comprising 5.2Mt of domestic sales and 1.5Mt of exports. As of September 2017, Vietnam had 3.0Mt of cement and clinker inventory, most of which is clinker.

At present, Vietnam’s cement capacity is 86Mt/yr but domestic demand is estimated at 60Mt/yr, a surplus of 26Mt/yr, according to the Vietnam National Cement Association (VCNA).

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BillerudKorsnäs signs letter of intent with Vissai

24 April 2017

Vietnam: Sweden’s BillerudKorsnäs has signed a letter of intent with Vissai Group regarding the use of its QuickFill Clean (QFC) cement paper sack product line. The deal was agreed at a workshop organised by the Embassy of Sweden with the Vietnam Ministry of Construction, according to the Viet Nam News newspaper. The new type of cement bags are intended to reduce leakage although their use will require changes in the handling of sacks throughout the supply chain. Representatives from the Vietnam National Cement Association, Vietnam Federation of Civil Engineering Associations and other ministries also attended the event.

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