Vietnam Cement Standard Report 2015
This report provides a comprehensive analysis of the global and Vietnam cement market including the historical data and forecast figures. The report further reveals market drivers, opportunities, restraints, and challenges to be faced in the Vietnam market.
In 2015, the Vietnam cement industry continued to oversupply with the using rate of 64% of the total production, excluding export value, and this situation seems to keep going on in the near future. However, the cement demand might change significantly due to the rising of infrastructure and real estate projects, but this is not guaranteed.
The quality of cement production depends on two factors: raw material and technology & equipment. Limestone used as raw material to manufacture portland cement have to satisfy the requirements of quality content of MgO and CaO. In terms of technology, manufacturing enterprises use rotary kiln dry method with two major equipment lines derived from the G7 countries and China. G7 machinery will provide higher productivity, however, materials play a more important role in deciding the quality of cement so small firms can consider Chinese equipment, while those from G7 countries are still the best choice for large enterprises.
Logistic is still a weakness of Vietnam cement companies. The linker supply in the North is redundant, while the demand in the South is increasing, which results to the transportation of linker from the North to the South. Difficulties in shipping process cause the transporting cost higher, making the cement price in the South more expensive than in the Middle and in the North. Besides, cement price in Vietnam is predicted to rise due to the climbing of material and energy cost, which may lead to the lower efficiency of the industry.
In the near future, direct sale to projects and industrial customers may become the main trend of the industry. There are 3 groups of cement supply in Vietnam: companies under VICEM accounting for 27% of total capacity in Vietnam, foreign enterprises and private companies with large scale. The internal competition is very stiff, with the development and dominance of large brands, smaller firms are facing bankruptcy or being merged to as they are not capable to compete with the big.
This report provides a comprehensive review about the global and Vietnam beverage industry based on specific and trustworthy data, particularly regarding:
In 2015, the Vietnam cement industry continued to oversupply with the using rate of 64% of the total production, excluding export value, and this situation seems to keep going on in the near future. However, the cement demand might change significantly due to the rising of infrastructure and real estate projects, but this is not guaranteed.
The quality of cement production depends on two factors: raw material and technology & equipment. Limestone used as raw material to manufacture portland cement have to satisfy the requirements of quality content of MgO and CaO. In terms of technology, manufacturing enterprises use rotary kiln dry method with two major equipment lines derived from the G7 countries and China. G7 machinery will provide higher productivity, however, materials play a more important role in deciding the quality of cement so small firms can consider Chinese equipment, while those from G7 countries are still the best choice for large enterprises.
Logistic is still a weakness of Vietnam cement companies. The linker supply in the North is redundant, while the demand in the South is increasing, which results to the transportation of linker from the North to the South. Difficulties in shipping process cause the transporting cost higher, making the cement price in the South more expensive than in the Middle and in the North. Besides, cement price in Vietnam is predicted to rise due to the climbing of material and energy cost, which may lead to the lower efficiency of the industry.
In the near future, direct sale to projects and industrial customers may become the main trend of the industry. There are 3 groups of cement supply in Vietnam: companies under VICEM accounting for 27% of total capacity in Vietnam, foreign enterprises and private companies with large scale. The internal competition is very stiff, with the development and dominance of large brands, smaller firms are facing bankruptcy or being merged to as they are not capable to compete with the big.
This report provides a comprehensive review about the global and Vietnam beverage industry based on specific and trustworthy data, particularly regarding:
- An overview of the international and domestic industry including the data about supply – demand, market shares, advantages and disadvantages, internal competition, sale strategies of retails as well as development trends of the industry in the future.
- Detail information, including current status and potentials of Vietnam market: the production – consumption, import – export, market shares, revenue structure, inventories and major brands in the market.
- Some forecasts in the near future and risks analysis when joining the industry.
- Risk analysis through SWOT and 5 – forces analyzing.
- Details about top enterprises in the market.
EXECUTIVE SUMMARY
1. BUSINESS ENVIRONMENT
1.1 Macroeconomic Situation
Figure 1. GDP Growth, 2008-2015
Figure 2. CPI, 2010-2015
Figure 3. Foreign exchange reserves
Figure 4. VND/USD, 2010 – 2015
Figure 5. State budget Deficit
Figure 6. State investment at current prices by kinds of economic activity
Figure 7. FDI in Vietnam, 2010 - Q1/2016
1.2 Legal Barriers
Table 1. Demand forecasts for 2011 – 2030
Table 2. WHRPG System
Table 3. Concentration level of some parameters
Table 4. Environmental Protection Tax rate applied since Jan 1st, 2012
Table 5. Natural Resources Tax rate applied since Feb 1st, 2014
Table 6. Import Export Tariff applied since 2014
2. INDUSTRY OVERVIEW
2.1 Global Cement Industry Situation
2.1.1 Consumption
Figure 8. Cement consumption in the world
Figure 9. Cement consumption by country, 2014
Figure 10. Global cement demand
Figure 11. Cement consumption by country, 2014
2.1.2 Production
Figure 12. The world cement production
Figure 13. Production by regions, 2014
Figure 14. Largest cement producers in the world by country, 2014
2.2 Vietnam Cement Industry Situation
2.2.1 History of Vietnam Cement Industry
2.2.2 Definition and Classification
2.2.3 Fundamental Manufacturing Process
2.2.4 Scale and Market Share
Figure 15. Allocation of manufacturing enterprises by region
Figure 16. Allocation of cement production lines by region
Figure 17. Market shares by key players, 2014
2.2.5 Supply-Demand
Figure 18. Domestic production - consumption, 2010 – 2015
Figure 19. Cement Supply and Demand in the Central, 2010 – 2015
Figure 20. Cement Supply and Demand in the North, 2010 – 2015
Figure 21. Cement Supply and Demand in the Central, 2010 – 2015
Figure 22. Cement Production, 2010 – 2015
Table 7. Total capacity of some cement plants by the end of 2015
Table 8. Total capacity of some cement plants in the period 2016 – 2017
2.2.6 Clinker and Cement Manufacturing
Table 9. Large enterprises in the North in 2015
Table 10. Large enterprises in the Central in 2015
Table 11. Large enterprises in the South in 2015
2.2.7 Consumption
Figure 23. Structure of consumption by region, 2010 - Q1/2016
Figure 24. Cement consumption by month, 2015 - Q1/2016e
Figure 25. Cement consumption growth by region, 2011 - 2015
2.2.8 Clinker and Cement Export
Figure 26. Top 6 biggest cement exporter worldwide 2014
Figure 27. Export of cement and clinker, 2010-Q1/2016
Figure 28. Major export market, Q1/2015 – Q1/2016
Figure 29. Cement manufacturers for export
Table 12. Main features of major cement exporters in Vietnam
Table 13. Major importers
Table 14. Main features of major cement importers in Vietnam
2.2.9 Price Movement
Figure 30. Cement price, 4/2015
Figure 31. Average cement price, 4/2015
2.3 Industry Planning
2.3.1 Cement Industrial Planning
2.3.2 Construction and Real Estate Industrial Planning
2.4 Industry Driving Force
2.4.1 Cement Industry Driving Force
2.4.2 Output Industry (Real estate,..) Driving Forces
Figure 32. Forecast on construction and infrastructure
Figure 33. Population growth
3. ENTERPRISE ANALYSIS
Table 15. Top typical enterprises, 2015
3.1 Revenue and Profit analysis
Figure 34. Business situation of cement enterprises 2015
Figure 35. Net profit and profit growth of enterprises 2015
3.2 Operation Ratios
Figure 36. Receivables turnover of enterprises 2014 – 2015
Figure 37. Inventory turnover of enterprises 2014 – 2015
Figure 38. Asset utilization rate of enterprises 2015
3.3 Financial Strength
Figure 39. Repayment capacity ratios of enterprises 2015
Figure 40. Solvency Ratios of enterprises 2015
3.4 Management Effectiveness
Figure 41. ROA and ROE ratios of companies in the industry 2014 -2015
1. BUSINESS ENVIRONMENT
1.1 Macroeconomic Situation
Figure 1. GDP Growth, 2008-2015
Figure 2. CPI, 2010-2015
Figure 3. Foreign exchange reserves
Figure 4. VND/USD, 2010 – 2015
Figure 5. State budget Deficit
Figure 6. State investment at current prices by kinds of economic activity
Figure 7. FDI in Vietnam, 2010 - Q1/2016
1.2 Legal Barriers
Table 1. Demand forecasts for 2011 – 2030
Table 2. WHRPG System
Table 3. Concentration level of some parameters
Table 4. Environmental Protection Tax rate applied since Jan 1st, 2012
Table 5. Natural Resources Tax rate applied since Feb 1st, 2014
Table 6. Import Export Tariff applied since 2014
2. INDUSTRY OVERVIEW
2.1 Global Cement Industry Situation
2.1.1 Consumption
Figure 8. Cement consumption in the world
Figure 9. Cement consumption by country, 2014
Figure 10. Global cement demand
Figure 11. Cement consumption by country, 2014
2.1.2 Production
Figure 12. The world cement production
Figure 13. Production by regions, 2014
Figure 14. Largest cement producers in the world by country, 2014
2.2 Vietnam Cement Industry Situation
2.2.1 History of Vietnam Cement Industry
2.2.2 Definition and Classification
2.2.3 Fundamental Manufacturing Process
2.2.4 Scale and Market Share
Figure 15. Allocation of manufacturing enterprises by region
Figure 16. Allocation of cement production lines by region
Figure 17. Market shares by key players, 2014
2.2.5 Supply-Demand
Figure 18. Domestic production - consumption, 2010 – 2015
Figure 19. Cement Supply and Demand in the Central, 2010 – 2015
Figure 20. Cement Supply and Demand in the North, 2010 – 2015
Figure 21. Cement Supply and Demand in the Central, 2010 – 2015
Figure 22. Cement Production, 2010 – 2015
Table 7. Total capacity of some cement plants by the end of 2015
Table 8. Total capacity of some cement plants in the period 2016 – 2017
2.2.6 Clinker and Cement Manufacturing
Table 9. Large enterprises in the North in 2015
Table 10. Large enterprises in the Central in 2015
Table 11. Large enterprises in the South in 2015
2.2.7 Consumption
Figure 23. Structure of consumption by region, 2010 - Q1/2016
Figure 24. Cement consumption by month, 2015 - Q1/2016e
Figure 25. Cement consumption growth by region, 2011 - 2015
2.2.8 Clinker and Cement Export
Figure 26. Top 6 biggest cement exporter worldwide 2014
Figure 27. Export of cement and clinker, 2010-Q1/2016
Figure 28. Major export market, Q1/2015 – Q1/2016
Figure 29. Cement manufacturers for export
Table 12. Main features of major cement exporters in Vietnam
Table 13. Major importers
Table 14. Main features of major cement importers in Vietnam
2.2.9 Price Movement
Figure 30. Cement price, 4/2015
Figure 31. Average cement price, 4/2015
2.3 Industry Planning
2.3.1 Cement Industrial Planning
2.3.2 Construction and Real Estate Industrial Planning
2.4 Industry Driving Force
2.4.1 Cement Industry Driving Force
2.4.2 Output Industry (Real estate,..) Driving Forces
Figure 32. Forecast on construction and infrastructure
Figure 33. Population growth
3. ENTERPRISE ANALYSIS
Table 15. Top typical enterprises, 2015
3.1 Revenue and Profit analysis
Figure 34. Business situation of cement enterprises 2015
Figure 35. Net profit and profit growth of enterprises 2015
3.2 Operation Ratios
Figure 36. Receivables turnover of enterprises 2014 – 2015
Figure 37. Inventory turnover of enterprises 2014 – 2015
Figure 38. Asset utilization rate of enterprises 2015
3.3 Financial Strength
Figure 39. Repayment capacity ratios of enterprises 2015
Figure 40. Solvency Ratios of enterprises 2015
3.4 Management Effectiveness
Figure 41. ROA and ROE ratios of companies in the industry 2014 -2015
