Despite high input costs and a sluggish real estate market, Vietnam’s cement industry recorded a notable recovery in both domestic consumption and export performance during the first quarter of 2025.
According to the Q1/2025 Cement Market Report, domestic consumption in March reached approximately 8.55 million tons—an increase of 17% compared to the same period in 2024 and nearly triple that of February. Cumulatively, total domestic consumption in Q1 reached 15.06 million tons, up 31% year-on-year. On the export side, 3.03 million tons were shipped in March, a 7% increase over the previous year. Total exports for the first three months hit 8.32 million tons, contributing to a combined Q1 industry consumption of around 23.38 million tons—nearly 20% higher than the same quarter last year.
This growth comes amid global uncertainties tied to geopolitical tensions and the ongoing energy transition, which have kept input material prices—especially crude oil—at elevated levels. This has directly impacted production and logistics costs across the cement supply chain. Domestically, renewed demand was driven by public infrastructure investments and some recovery signs from the private construction sector.
Fluctuations in coal, fuel, and electricity prices have posed challenges, forcing many domestic cement producers to adjust selling prices to offset rising costs. Nevertheless, shifting consumer preferences toward environmentally friendly products and operational flexibility have enabled the industry to maintain stability under less-than-ideal market conditions.
According to the Vietnam Cement Association, per capita cement consumption remains relatively low—below 650 kg/year—compared to over 1,000 kg in countries with a GDP per capita of around USD 4,000 or more. This indicates significant growth potential, provided that economic conditions continue to improve.
Collector: Ms. Elly (+84 369 980 010)