Vietnam: domestic cement consumption could reach 80Mt by 2020

Vietnam: domestic cement consumption could reach 80Mt by 2020
22 September 2016

Cement consumption in Vietnam will this year reach 60Mt, while 15.5-17Mt of cement and clinker will be exported, claims Vietnam's Cement Association Chairman, Nguyen Quang Cung.

Mr Cung said Vietnam's total productivity was estimated to reach 95Mt by 2020, of which domestic consumption would increase by 5-5.5Mta, reaching 80Mt. The remaining volume of 15Mt would be be shipped overseas.

"Vietnam will be able to meet the increasing demands of production and export of cement and clinker by that time," he added.

Vissai Group plans to increase capacity
Being a private business with a production capacity of more than 10Mta in Vietnam, Nguyen Tien Dat, deputy general director of Vissai Group, said several domestic businesses were dealing with fierce competition from regional nations such as Thailand and China.

Dat said Vissai would begin construction on the first phase of the Song Lam Cement factory in October this year. The plant was designed to have a capacity of 1Mta, bringing the group's total capacity to 12Mt.

"With such a high production capacity, it won't be less pressure on the group in the current competitive situation," Mr Dat said.

"We have decided that we will focus on investment in the cement distribution system. In the 2016-18 period, our key strategy is to raise consumption through the logistics system, which will also create more favourable conditions for exports and for sustainable development," he added.

Published under Cement News