Quarter 1: Cement and clinker exports reached about 7.9 million tons
According to data from the General Statistics Office, in the first quarter of 2024, the entire cement industry exported about 7.9 million tons of products, earning 298 million USD, output equal to the same period last year but value decreased by 11.7 %. Notably, the decline in exports of this product has lasted for the third year..
Last year, the cement industry’s exports plummeted because many key markets such as China, Bangladesh… reduced imports of cement and clinker from Vietnam. Cumulatively for the whole year of 2023, the cement industry exports will reach more than 31.3 million tons of clinker and cement, equivalent to more than 1.32 billion USD, down 1.2% in volume and down 4.1% in value compared to compared to the same period in 2022. Compared to the export record of nearly 46 million tons in 2021, the Vietnam Cement industry does not know when it will return to this threshold.
The reason why cement and clinker exports dropped sharply in the first quarter of 2024 is because the Chinese real estate market has not shown signs of improvement. In addition, cement and clinker export prices also decreased slightly, continuing the momentum. decrease of the previous year. In addition, the Philippine market still applies protection policies (anti-dumping tax on cement imported from Vietnam).
Not to mention, export prices of cement and clinker remain low, lasting from the end of 2022 until now. According to businesses, the average export price in the 12 months of 2023 will reach nearly 42.4 USD/ton, down nearly 3% over the same period.
Forecasts of the Vietnam Cement Association (VNCA), cement and clinker exports in 2024 will continue to face difficulties, because the Chinese real estate market has not shown signs of recovery, and Chinese cement is also in surplus. and is forecast to compete with Vietnamese cement in export markets such as the Philippines, Central America, South Africa…
Meanwhile, in 2024, domestic cement output will continue to exceed demand, the domestic market is expected to consume about 60 – 62 million tons, therefore, the export channel is still promoted by businesses. to handle an output of about 30 million tons. Currently, some businesses are expanding their markets, shifting to regions such as the US, Australia, North America, South America and Africa to reduce dependence on some traditional markets.
Source: Report of Vietnam Cement
Published: April 2, 2024