From powering the country's record-breaking construction boom to becoming a global export powerhouse, Vietnam's cement industry is mixing an impressive story of growth, challenge, and transformation behind its nearly 100 million-ton annual production.
Key Takeaways
- In 2022, Vietnam's cement production reached 98.5 million tons, marking a 5.2% increase from 2021
- Vietnam's cement industry produced 72.6 million tons in the first half of 2023, up 6% year-on-year
- Annual cement production in Vietnam averaged 95 million tons between 2018-2022
- Cement production capacity utilization in Vietnam was 72% in 2022
- Total installed cement capacity in Vietnam stood at 136 million tons per year as of 2023
- VICEM holds 25% of Vietnam's total cement capacity at 34 million tons/year
- Cement consumption in Vietnam was 72 million tons in 2022, down 3% from 2021
- Per capita cement consumption in Vietnam reached 72 kg in 2022
- Domestic demand grew 4.5% to 75 million tons in H1 2023
- Vietnam exported 32.5 million tons of cement and clinker in 2022
- Cement exports value reached USD 1.2 billion in 2022
- Clinker exports from Vietnam were 22.1 million tons in 2022
- Vietnam Cement Association (VNCA) members hold 60% market share
- VICEM is the largest producer with 18 million tons output in 2022
- Vissai Group capacity at 12.5 million tons/year
Vietnam's cement industry faces oversupply despite growing production and exports.
Capacity and Utilization
1Cement production capacity utilization in Vietnam was 72% in 2022
Verified2Total installed cement capacity in Vietnam stood at 136 million tons per year as of 2023
Verified3VICEM holds 25% of Vietnam's total cement capacity at 34 million tons/year
Verified4New cement capacity additions in Vietnam totaled 5.2 million tons in 2022-2023
Directional5Capacity utilization rate dropped to 65% in H1 2023 due to oversupply
Single source6Vietnam's clinker capacity reached 78 million tons/year in 2022
Verified7Idle cement capacity in Vietnam was 40 million tons in 2023
Verified8Regional capacity distribution: North 45%, South 35%, Central 20% in 2023
Verified9Cement grinding capacity expanded by 3.1 million tons in 2022
Directional10Utilization rate in northern plants averaged 68% in 2022
Single source11Southern plants utilization was 75% in 2022
Verified12Planned capacity reduction of 10 million tons by 2025 announced in 2023
Verified13Actual clinker utilization rate was 58% in 2023
Verified14Total capacity grew to 140 million tpa by end-2023
Directional15Utilization in 2021 was 78%
Single source16Thang Long Cement new line 2.5 mtpa added 2022
Verified17Oversupply led to 35% idle capacity north in 2023
Verified18Clinker capacity utilization 62% H1 2023
Verified1915 million tons capacity mothballed in 2023
DirectionalCapacity and Utilization Interpretation
Vietnam's cement industry is building a skyscraper of oversupply, where for every three bags it can make, one is just sitting around collecting dust and another is only half-full.
Companies and Market Share
1Vietnam Cement Association (VNCA) members hold 60% market share
Verified2VICEM is the largest producer with 18 million tons output in 2022
Verified3Vissai Group capacity at 12.5 million tons/year
Verified4Ha Tien Cement market share 12% in southern region
Directional5Chinfon Cement output 6.8 million tons in 2022
Single source6Number of cement plants in Vietnam: 92 as of 2023
Verified7Top 10 companies control 75% of capacity
Verified8Bim Son Cement revenue USD 450 million in 2022
Verified9Foreign investment in cement: 15% of total capacity
Directional10Nghi Son Cement market share 8%
Single source11Private sector share in production: 55% in 2022
Verified12State-owned enterprises output 42 million tons in 2022
Verified13New entrants added 2 plants in 2023
Verified14Market concentration ratio CR5 at 52% in 2022
Directional15Hoa Phat Cement market share 5%
Single source16Fico Cement capacity 4.2 mtpa
Verified17Revenue top 5 firms USD 3.8 billion 2022
Verified1885 grinding stations operational 2023
Verified19Private firms profit growth 12% 2022
Directional20INSEE Cement (Holcim) share 7%
Single source21Mergers reduced plants by 3 in 2022
Verified22CR10 ratio 68% 2023
Verified23Dong Mai Cement revenue USD 200m 2022
Verified24FDI firms 20 plants
DirectionalCompanies and Market Share Interpretation
Vietnam's cement market is a concrete jungle where the state-owned VICEM towers as the undisputed king, a formidable phalanx of private firms holds the majority of the field, and despite a crowded landscape of 92 plants, the real power is firmly set among a top tier who have clearly mastered the art of consolidation.
Consumption and Demand
1Cement consumption in Vietnam was 72 million tons in 2022, down 3% from 2021
Verified2Per capita cement consumption in Vietnam reached 72 kg in 2022
Verified3Domestic demand grew 4.5% to 75 million tons in H1 2023
Verified4Construction sector accounted for 85% of cement demand in 2022
Directional5Infrastructure projects drove 25% increase in demand in Q3 2022
Single source6Urbanization led to 6% annual demand growth projected to 2025
Verified7Real estate sector consumption was 28 million tons in 2022
Verified8Northern region consumed 32% of total cement in 2022
Verified9Southern Vietnam cement demand hit 38 million tons in 2022
Directional10Export-driven demand adjustment reduced domestic use by 5% in 2023
Single source11Hydropower projects consumed 4.2 million tons of cement in 2022
Verified12Road construction demand for cement was 15 million tons in 2022
Verified13Housing sector demand projected at 40 million tons for 2023
Verified14Demand forecast 80 million tons for 2023
Directional15Per capita consumption projected 75kg by 2025
Single source16Industrial parks demand 5 million tons 2022
Verified17H2 2022 consumption 36 million tons
Verified18Public investment projects 20 million tons demand 2023
Verified19Central region demand 22 million tons 2022
Directional20Recovery in real estate to boost demand 10% 2024
Single sourceConsumption and Demand Interpretation
While Vietnam's cement industry momentarily stumbled in 2022, its foundation remains solid, fueled by relentless urbanization, infrastructure ambitions, and a projected real estate recovery, all pointing towards a future where the nation quite literally builds itself upward again.
Economic and Environmental Impact
1CO2 emissions from cement production totaled 65 million tons in 2022
Verified2Energy consumption per ton of cement: 110 kWh in 2022
Verified3Employment in cement sector: 120,000 direct jobs in 2023
Verified4Tax contributions USD 800 million in 2022
Directional5Waste co-processing rate 5% of fuel needs in 2022
Single source6Dust emission standards compliance 95% of plants in 2023
Verified7Green cement production share 12% in 2023
Verified8Water usage per ton 250 liters industry average
Verified9Export taxes on cement reduced to 0% in 2022 boosting trade
Directional10R&D investment 2% of revenue for top firms
Single source111.5% GDP contribution projected 2025
Verified12PM2.5 reduction 20% via new filters 2023
Verified13150,000 jobs including indirect 2023
Verified14Biomass use 3% alternative fuel 2022
Directional15Export revenue contribution 0.8% national exports 2022
Single source16NOx emissions down 15% compliance upgrades
Verified17Recycling industrial waste 1.2 mt fuel equivalent 2022
Verified18Carbon tax pilot on cement 2024 USD 5/ton CO2
Verified19Energy intensity reduced 5% to 105 kWh/ton 2023
Directional20Social investment USD 50m community projects 2022
Single sourceEconomic and Environmental Impact Interpretation
Vietnam's cement industry stands as a burly paradox, pouring economic foundations with 120,000 jobs while sweating out 65 million tons of CO₂, yet it's diligently scrubbing its smokestacks, sipping water more modestly, and flirting with green cement and alternative fuels, all while bracing for a carbon tax and hoping its heavy economic footprint doesn't become too literal.
Exports and Imports
1Vietnam exported 32.5 million tons of cement and clinker in 2022
Verified2Cement exports value reached USD 1.2 billion in 2022
Verified3Clinker exports from Vietnam were 22.1 million tons in 2022
Verified4Top export destination USA imported 8.4 million tons in 2022
Directional5Philippines received 5.2 million tons of Vietnamese cement in 2022
Single source6Export volume grew 12% to 15.3 million tons in H1 2023
Verified7Cement imports into Vietnam were only 0.8 million tons in 2022
Verified8Trade surplus in cement reached USD 900 million in 2022
Verified9Bangladesh imported 3.9 million tons from Vietnam in 2022
Directional10EU markets took 4.1 million tons of Vietnamese clinker in 2022
Single source11Export price averaged USD 45/ton for cement in 2022
Verified12Q4 2022 exports surged 18% to 8.7 million tons
Verified13Imports of specialized cement types were 0.3 million tons in 2023
Verified14Exports to Africa 2.1 million tons 2022
Directional15Clinker shipments to India 1.8 mt 2022
Single source16US anti-dumping duties affected 10% exports 2023
Verified17Total export value H1 2023 USD 650 million
Verified18Imports from China 0.4 mt 2022
Verified19SEA exports 60% of total volume 2022
Directional20Price decline to USD 38/ton Q3 2023
Single source21Taiwan market 2.5 mt imports 2022
Verified22Import duties on clinker 5% average
VerifiedExports and Imports Interpretation
Vietnam has masterfully turned cement into a diplomatic currency, building its way to a nearly billion-dollar trade surplus while the world, quite literally, buys it by the ton at bargain prices.
Prices, Costs, and Financials
1Cement prices in Vietnam averaged VND 1.3 million/ton in 2022
Verified2Production cost per ton rose 15% to VND 850,000 in 2023 due to energy prices
Verified3Industry revenue totaled USD 5.2 billion in 2022
Verified4Profit margin averaged 8.5% for major firms in 2022
Directional5Electricity cost accounts for 40% of total production costs
Single source6Coal import costs increased 20% impacting cement prices in 2023
Verified7Average export price USD 42/ton in H1 2023
Verified8Domestic price hike of 10% in Q2 2023 to VND 1.45 million/ton
Verified9VICEM net profit USD 120 million in 2022
Directional10Total industry investment USD 2.1 billion in 2022
Single source11Logistics costs 12% of total expenses
Verified12Clinker production cost VND 1.1 million/ton in 2022
Verified13Average price VND 1.35m/ton Q1 2023
Verified14Fuel costs 35% of total, coal VND 2.5m/ton
Directional15EBITDA margin 15% VICEM 2022
Single source16Debt ratio industry average 45% 2022
Verified17Capex USD 500m new tech 2022
Verified18Labor cost 8% of production expenses
Verified19Profit after tax USD 400m total industry 2022
Directional20Raw material costs up 18% 2023 limestone VND 150k/ton
Single source21Export FOB price USD 48/ton clinker 2022
VerifiedPrices, Costs, and Financials Interpretation
While enjoying a respectable 8.5% profit slice of a $5.2 billion revenue pie in 2022, Vietnam's cement producers spent 2023 desperately trying to stop their margins from crumbling as energy and raw material costs—which make up a whopping 75% of their expenses—soared, forcing domestic prices up 10% just to keep the kilns burning.
Production Statistics
1In 2022, Vietnam's cement production reached 98.5 million tons, marking a 5.2% increase from 2021
Verified2Vietnam's cement industry produced 72.6 million tons in the first half of 2023, up 6% year-on-year
Verified3Annual cement production in Vietnam averaged 95 million tons between 2018-2022
Verified4In Q4 2022, Vietnam produced 24.8 million tons of cement, a 4.1% rise from Q4 2021
Directional5Cement clinker production in Vietnam hit 32.4 million tons in 2022
Single source6Vietnam's cement output grew by 2.5% to 97.3 million tons in 2021
Verified7Monthly cement production in Vietnam averaged 8.1 million tons in 2023
Verified8In 2020, pandemic-affected cement production was 91.2 million tons, down 10% from 2019
Verified9Northern Vietnam's cement production reached 28.7 million tons in 2022
Directional10Southern region's cement production was 35.2 million tons in 2022
Single source11Central Vietnam produced 18.9 million tons of cement in 2022
Verified12Vietnam's Portland cement production was 65.4 million tons in 2022
Verified13Blended cement output in Vietnam reached 33.1 million tons in 2022
Verified14Cement industry contributed 1.2% to Vietnam's GDP in 2022
Directional15Cement production growth rate 3.8% forecasted for 2023
Single source16In 2019, Vietnam produced 94 million tons of cement
Verified17Q1 2023 production 23.1 million tons, up 7%
Verified18Clinker production H1 2023: 16.8 million tons
Verified19Export-oriented clinker production 40% of total in 2022
DirectionalProduction Statistics Interpretation
Vietnam's cement industry is quite literally laying a rock-solid foundation for its economy, consistently mixing ambition with concrete growth, even when the global mortar seemed to be cracking.
Sources & References
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