Bright spot of cement and steel
According to data from the Vietnam Steel Association (VSA), the output of finished steel products in October reached 2.6 million tons, up 9% over the same period last year. Sales of finished steel products reached 2.7 million tons, up 9.43% over September 2024, mainly growing in construction steel, steel pipes and galvanized steel, but reaching 22.5% over the same period last year. Sales were 100,000 tons higher than production.
Production of finished steel products of all kinds reached 2.603 million tons, up 9.23% compared to September 2024 (construction steel production increased by 21.18%, steel pipes by 16.67%, galvanized steel by 7.12%, while hot-rolled coil (HRC) and cold-rolled coil (CRC) recorded a decrease); and also increased by 9.2% compared to the same period in 2023 (steel pipe production had the highest increase of 31%, followed by galvanized steel and color-coated steel by 28% and construction steel by 18.6%, while HRC decreased by 7.9% and CRC decreased by 22.2%).
Vo Thi Ngoc Han, Senior Research Director of Industry & Technology, Ho Chi Minh City Securities Corporation (HSC), said that the picture of Vietnam's steel industry in the domestic market is recovering strongly with construction steel thanks to strong disbursement activities of public investment projects, key projects such as Long Thanh Airport project; restarting real estate projects after obtaining construction permits.
Steel consumption in Vietnam is forecast to grow by an average of 14% in 2024 and continue to grow by 11% in 2025. These are positive signals, affirming the role and strong development potential of the Vietnamese steel industry in the coming time.
Meanwhile, for the cement industry, the Ministry of Construction recently made a forecast on the production and consumption of cement in 2025. Accordingly, in 2025, the world situation is forecast to remain complicated, due to the impact of the armed conflicts between Russia - Ukraine, Israel - Hamas, some countries in the world may experience economic crisis and recession. That will affect the domestic economy and affect the export of cement industry enterprises.
Currently, the country has invested in 92 cement production lines, with a total designed capacity of 123 million tons, fully capable of producing enough cement to meet consumption demand in 2025. The Ministry of Construction calculates the industry's cement consumption demand in 2025 at about 95 - 100 million tons, an increase of 2 - 3% compared to 2024. Of which, domestic consumption is about 60 - 65 million tons, and export is about 30 - 35 million tons.
The market is brighter
Regarding Vietnam's economic prospects in 2025, according to the representative of the Economic Analysis and Forecast Department of the Central Institute for Economic Management (CIEM), Vietnam is a country with an economy deeply integrated with the world, so developments in the world economy will greatly affect Vietnam's economy in 2025.
However, the number of enterprises has not increased much; State capital continues to be the mainstay; FDI capital in 2025 will continue to be a bright spot. The purchasing power of Vietnamese people has increased, but not much because labor income has not made a breakthrough; the export market continues to grow well, thanks to the recovery of global trade and trade agreements...
In 2025, the world's geopolitics will still have many unpredictable developments, however, global economic growth is expected to improve thanks to the recovery of trade growth and better control of inflation. Therefore, some experts recommend that, in terms of institutions, it is necessary to continue to strengthen the removal of barriers when building documents guiding the implementation of laws issued in 2023 and 2024, reforming business procedures to closely follow and follow market signals, the role of the market; infrastructure for development;
Continue to focus on supporting production and export, including making good use of trade agreements, reducing risks of maritime transport through military conflict zones, trade defense...
On the business side, Mr. Vu Khanh Toan - Kobler brand consultant in the Vietnamese market said that 2025 will be more positive. The economic outlook and growth rate will increase compared to 2024.
In addition, the Government may continue to implement policies to support the construction materials industry through stimulus packages, tax incentives for green material manufacturing enterprises or investment in new technology. Along with that, it will continue to tighten regulations on construction material quality, labor safety, and construction quality assurance.
"In 2025, the construction materials market in Vietnam will have strong growth thanks to high demand from the construction, real estate, and infrastructure industries. Factors such as sustainable development, new technology, and the need to build disaster-resistant structures will be the factors that dominate the market's development," said Mr. Vu Khanh Toan.
Source: https://kinhtedothi.vn/doanh-nghiep-vat-lieu-xay-dung-lac-quan-ve-trien-vong-thi-truong.html
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