Vietnam Construction Standard Report Q1/2020
VIETNAM CONSTRUCTION INDUSTRY
While the Asian construction industry is showing signs of cooling down, the Chinese economic growth slowdown has indirectly impacted the construction industry of this country. A series of industries and input materials affected as cement, steel, … China accounts for a large proportion not only in the world construction industry but also in Asia so China’s influence on the market. School building area is huge. Meanwhile, in Europe and North America, the Construction market continued to remain unchanged, not growing for many years, due to the unstable economic situation in Europe and unsustainable recovery.
Vietnam is one of the most attractive destinations for retailers in Southeast Asia due to the booming economy. With an export-oriented economy, with exports accounting for a significant portion of 80% of nominal GDP, Vietnam is attracting a large and growing amount of foreign investment. With increasing demand for land and industrial plants, this segment will continue to be an attractive investment channel.
In the first 9 months, the retail market in Hanoi was gloomy, no new projects were launched, the operation situation did not change much compared to Q4/2018, while the HCMC market. HCM continues to increase retail supply, rental rates as well as occupancy rates are improved.
In the first 9 months of 2019, while the market for apartments for sale in Hanoi was active from abundant new supply to sales, the HCMC market. Ho Chi Minh City again reduced supply as well as sales due to limited land. However, the asking price of the city. Ho Chi Minh City increased sharply in Q3/2019 due to a number of high-end projects launched
In the transport infrastructure, roads and bridges lead to a contribution to the total value of the transport infrastructure industry, accounting for 56% of the total value in 2016. Vietnam’s seaport network includes consisting of many small and medium units, with inefficient distribution. The airport system in Vietnam is mostly operating below capacity
While the Asian construction industry is showing signs of cooling down, the Chinese economic growth slowdown has indirectly impacted the construction industry of this country. A series of industries and input materials affected as cement, steel, … China accounts for a large proportion not only in the world construction industry but also in Asia so China’s influence on the market. School building area is huge. Meanwhile, in Europe and North America, the Construction market continued to remain unchanged, not growing for many years, due to the unstable economic situation in Europe and unsustainable recovery.
Vietnam is one of the most attractive destinations for retailers in Southeast Asia due to the booming economy. With an export-oriented economy, with exports accounting for a significant portion of 80% of nominal GDP, Vietnam is attracting a large and growing amount of foreign investment. With increasing demand for land and industrial plants, this segment will continue to be an attractive investment channel.
In the first 9 months, the retail market in Hanoi was gloomy, no new projects were launched, the operation situation did not change much compared to Q4/2018, while the HCMC market. HCM continues to increase retail supply, rental rates as well as occupancy rates are improved.
In the first 9 months of 2019, while the market for apartments for sale in Hanoi was active from abundant new supply to sales, the HCMC market. Ho Chi Minh City again reduced supply as well as sales due to limited land. However, the asking price of the city. Ho Chi Minh City increased sharply in Q3/2019 due to a number of high-end projects launched
In the transport infrastructure, roads and bridges lead to a contribution to the total value of the transport infrastructure industry, accounting for 56% of the total value in 2016. Vietnam’s seaport network includes consisting of many small and medium units, with inefficient distribution. The airport system in Vietnam is mostly operating below capacity
Abbreviations
Summary
Business environment
1.1 Macroeconomic situation
1.2 Legal barriers
Construction market in the world
2.1 Scale and characteristics of world construction industry
Vietnam construction market
3.1 Overview of Vietnam’s construction industry
3.2 Construction activities
3.3 Construction industry output
3.3.1 Housing of all kinds
3.3.2 House is not for living
3.3.3 Infrastructure
3.3.4 Specialized works
3.3.5 Planning
Enterprises
4.1 Business overview
4.2 Business analysis
Profitability
Solvency
Solvency
Performance
Profitability ratio
Summary
Business environment
1.1 Macroeconomic situation
1.2 Legal barriers
Construction market in the world
2.1 Scale and characteristics of world construction industry
Vietnam construction market
3.1 Overview of Vietnam’s construction industry
3.2 Construction activities
3.3 Construction industry output
3.3.1 Housing of all kinds
3.3.2 House is not for living
3.3.3 Infrastructure
3.3.4 Specialized works
3.3.5 Planning
Enterprises
4.1 Business overview
4.2 Business analysis
Profitability
Solvency
Solvency
Performance
Profitability ratio
LIST OF CHARTS
Figure 1: Share of construction industry in GDP, 2013-2021f
Figure 2: GDP growth rate by quarter, 2016 – 2019
Figure 3: VND / USD exchange rate, 1 / 2013-9 / 2019
Figure 4: Construction value and infrastructure, 2010 – 2022f
Figure 5: Foreign direct investment in the first 6 months, 2012 – 2019
Figure 6: Structure of total real estate assets by region in 2015
Figure 7: GDP growth rate of regions in the world, 2000 – 2021f
Figure 8: World construction industry value, 2016-2022f
Figure 9: Average contribution of construction industry to world GDP, 2016-2022f
Figure 10: Value structure of world construction industry, 2010 – 2020f
Figure 11: Top cities with the largest gross profit margins in civil construction in the world in 2016
Figure 12: Revenue of Construction industry, 2010-2017
Figure 13: Number of employees in Construction industry, 2010-2017
Figure 14: Construction industry value, 2012-6M / 2017
Figure 15: Proportion of all economic sectors in the construction industry, 6M / 2017
Figure 16: Structure of construction costs
Figure 17: Total supply by classification, 2015-9 September 2019
Figure 18: Rental price of apartments by grade, Q1 / 2015-Q3 / 2019
Figure 19: Rental price and capacity of apartments, Q1 / 2017-Q3 / 2019
Figure 20: Vacancy rate and rental price, 9M / 2019
Figure 21: Total supply of apartments for rent, Q1 / 2017-Q3 / 2019
Figure 22: Rental price of apartments by grade Q1 / 2017-Q3 / 2019
Figure 23: Housing supply in Hanoi, 2010-9T / 2019
Figure 24: Price movements of apartments, Q1 / 2011-Q3 / 2019
Figure 25: New supply and number of apartments sold, 2014-9T / 2019
Figure 26: Resale price of apartments in Ho Chi Minh City, Q1 / 2015-Q3 / 2019
Figure 27: Total villa / townhouse, Q1 / 2017-Q3 / 2019
Figure 28: Price movements of secondary villas and adjacent houses Q1 / 2015-Q3 / 2019
Figure 29: Villa / continuous supply, Q1 / 2016-Q3 / 2019
Figure 30: Total supply by classification, 9/2019
Figure 31: Supply structure by region, 9/2019
Figure 32: Vacancy rate and rental price, 9/2019
Figure 33: Supply of rental centers, 2013-9T / 2019
Figure 34: Rental price and vacancy rate of shopping centers, 2014-9T / 2019
Figure 35: Total supply, 9/2019
Figure 36: Retail supply structure by region, September 2019
Figure 37: Rental price and vacancy rate, Q3 / 2019
Figure 38: Total supply of shopping centers, 2013-9T / 2019
Figure 39: Rental price and vacancy rate of Shopping Centers, 2013-9T / 2019
Figure 40: Structure of retail space by purpose, 2015
Figure 41: Structure of retail space by purpose, 2018
Figure 42: Total supply by region, 9M / 2019
Figure 43: Office rental price, Q1 / 2016-Q3 / 2019
Figure 44: Average price by region, Q3 / 2019
Figure 45: Office leasing structure by activity, 2018
Figure 46: Office supply and vacancy rate, Q1 / 2017-Q3 / 2019
Figure 47: Total supply and rental price by grade, 9/2019
Figure 48: Office rental price, Q1 / 2016-Q3 / 2019
Figure 49: Office leasing structure by activity, 2018
Figure 50: Structure of coworking leasing by type of business, 2018
Figure 51: Total hotel supply in Hanoi, Q1 / 2017-Q3 / 2019
Figure 52: Rental price and operating capacity, Q1 // 2017-Q3 / 2019
Figure 53: Total hotel supply in Ho Chi Minh City, Q1 / 2017-Q3 / 2019
Figure 54: Average room price and rental capacity, Q1 / 2017-Q3 / 2019
Figure 55: Total supply by region, 6M / 2019
Figure 56: Rental price by area, Q2 / 2019
Figure 57: Total supply and vacancy rate of Northern Industrial Zone, 6M / 2019
Figure 58: Average rent of Bac Bo Industrial Park, Q2 / 2019
Figure 59: Total supply and vacancy rate, Q2 / 2019
Figure 60: Rental price by region, Q2 / 2019
Figure 61: Vacancy rate, 2011-2018
Figure 62: Existing factory rents, 2011 – 2018
Figure 63: Land rental price by region, 2011 – 2018
Figure 64: Infrastructure ranking index by country, 2017
Figure 65: Percentage of logistic costs in 2016 GDP of Vietnam compared to other regions, 2017-2018
Figure 66: LPI ranking of Vietnam, 2010 – 2018
Figure 67: Number of BOT and BT projects under the management of the Ministry of Transport on roads
Figure 68: Loan outstanding status of BOT and BT loans of the banking system, 2014 – 9M / 2017
Figure 69: Proportion of generation by supplier, 2017
Figure 70: Total palace, 2010 – 9M / 2019
Figure 71: Electricity loss, 2010 -9T / 2019
Figure 72: Structure of investment costs for infrastructure development in GDP, 1995 – 2013
Figure 73: Level of urbanization, 2012 – 2018
Figure 74: Available income and household expenditure, 2008 – 2017f
Figure 75: Outstanding credit of real estate, 12 / 2012-12 / 2018
Figure 76: Structure of real estate outstanding credit, 2018
Figure 77: Population structure by stratification (expenditure), 2013 – 2020f
Figure 78: Net revenue growth, 2017-2018
Figure 79: Gross profit growth, 2018
Figure 80: Solvency ratio, 2018
Figure 81: Receivables turnover, 2018
Figure 82: Solvency, 2018
Figure 83: Asset turnover ratio, 2017
Figure 84: Fixed asset turnover, 2017
Figure 85: Administrative expenses / joint expenses
Figure 86: Interest expense / net revenue, 2017-2018
Figure 87: Profit ratio, 2018
Figure 1: Share of construction industry in GDP, 2013-2021f
Figure 2: GDP growth rate by quarter, 2016 – 2019
Figure 3: VND / USD exchange rate, 1 / 2013-9 / 2019
Figure 4: Construction value and infrastructure, 2010 – 2022f
Figure 5: Foreign direct investment in the first 6 months, 2012 – 2019
Figure 6: Structure of total real estate assets by region in 2015
Figure 7: GDP growth rate of regions in the world, 2000 – 2021f
Figure 8: World construction industry value, 2016-2022f
Figure 9: Average contribution of construction industry to world GDP, 2016-2022f
Figure 10: Value structure of world construction industry, 2010 – 2020f
Figure 11: Top cities with the largest gross profit margins in civil construction in the world in 2016
Figure 12: Revenue of Construction industry, 2010-2017
Figure 13: Number of employees in Construction industry, 2010-2017
Figure 14: Construction industry value, 2012-6M / 2017
Figure 15: Proportion of all economic sectors in the construction industry, 6M / 2017
Figure 16: Structure of construction costs
Figure 17: Total supply by classification, 2015-9 September 2019
Figure 18: Rental price of apartments by grade, Q1 / 2015-Q3 / 2019
Figure 19: Rental price and capacity of apartments, Q1 / 2017-Q3 / 2019
Figure 20: Vacancy rate and rental price, 9M / 2019
Figure 21: Total supply of apartments for rent, Q1 / 2017-Q3 / 2019
Figure 22: Rental price of apartments by grade Q1 / 2017-Q3 / 2019
Figure 23: Housing supply in Hanoi, 2010-9T / 2019
Figure 24: Price movements of apartments, Q1 / 2011-Q3 / 2019
Figure 25: New supply and number of apartments sold, 2014-9T / 2019
Figure 26: Resale price of apartments in Ho Chi Minh City, Q1 / 2015-Q3 / 2019
Figure 27: Total villa / townhouse, Q1 / 2017-Q3 / 2019
Figure 28: Price movements of secondary villas and adjacent houses Q1 / 2015-Q3 / 2019
Figure 29: Villa / continuous supply, Q1 / 2016-Q3 / 2019
Figure 30: Total supply by classification, 9/2019
Figure 31: Supply structure by region, 9/2019
Figure 32: Vacancy rate and rental price, 9/2019
Figure 33: Supply of rental centers, 2013-9T / 2019
Figure 34: Rental price and vacancy rate of shopping centers, 2014-9T / 2019
Figure 35: Total supply, 9/2019
Figure 36: Retail supply structure by region, September 2019
Figure 37: Rental price and vacancy rate, Q3 / 2019
Figure 38: Total supply of shopping centers, 2013-9T / 2019
Figure 39: Rental price and vacancy rate of Shopping Centers, 2013-9T / 2019
Figure 40: Structure of retail space by purpose, 2015
Figure 41: Structure of retail space by purpose, 2018
Figure 42: Total supply by region, 9M / 2019
Figure 43: Office rental price, Q1 / 2016-Q3 / 2019
Figure 44: Average price by region, Q3 / 2019
Figure 45: Office leasing structure by activity, 2018
Figure 46: Office supply and vacancy rate, Q1 / 2017-Q3 / 2019
Figure 47: Total supply and rental price by grade, 9/2019
Figure 48: Office rental price, Q1 / 2016-Q3 / 2019
Figure 49: Office leasing structure by activity, 2018
Figure 50: Structure of coworking leasing by type of business, 2018
Figure 51: Total hotel supply in Hanoi, Q1 / 2017-Q3 / 2019
Figure 52: Rental price and operating capacity, Q1 // 2017-Q3 / 2019
Figure 53: Total hotel supply in Ho Chi Minh City, Q1 / 2017-Q3 / 2019
Figure 54: Average room price and rental capacity, Q1 / 2017-Q3 / 2019
Figure 55: Total supply by region, 6M / 2019
Figure 56: Rental price by area, Q2 / 2019
Figure 57: Total supply and vacancy rate of Northern Industrial Zone, 6M / 2019
Figure 58: Average rent of Bac Bo Industrial Park, Q2 / 2019
Figure 59: Total supply and vacancy rate, Q2 / 2019
Figure 60: Rental price by region, Q2 / 2019
Figure 61: Vacancy rate, 2011-2018
Figure 62: Existing factory rents, 2011 – 2018
Figure 63: Land rental price by region, 2011 – 2018
Figure 64: Infrastructure ranking index by country, 2017
Figure 65: Percentage of logistic costs in 2016 GDP of Vietnam compared to other regions, 2017-2018
Figure 66: LPI ranking of Vietnam, 2010 – 2018
Figure 67: Number of BOT and BT projects under the management of the Ministry of Transport on roads
Figure 68: Loan outstanding status of BOT and BT loans of the banking system, 2014 – 9M / 2017
Figure 69: Proportion of generation by supplier, 2017
Figure 70: Total palace, 2010 – 9M / 2019
Figure 71: Electricity loss, 2010 -9T / 2019
Figure 72: Structure of investment costs for infrastructure development in GDP, 1995 – 2013
Figure 73: Level of urbanization, 2012 – 2018
Figure 74: Available income and household expenditure, 2008 – 2017f
Figure 75: Outstanding credit of real estate, 12 / 2012-12 / 2018
Figure 76: Structure of real estate outstanding credit, 2018
Figure 77: Population structure by stratification (expenditure), 2013 – 2020f
Figure 78: Net revenue growth, 2017-2018
Figure 79: Gross profit growth, 2018
Figure 80: Solvency ratio, 2018
Figure 81: Receivables turnover, 2018
Figure 82: Solvency, 2018
Figure 83: Asset turnover ratio, 2017
Figure 84: Fixed asset turnover, 2017
Figure 85: Administrative expenses / joint expenses
Figure 86: Interest expense / net revenue, 2017-2018
Figure 87: Profit ratio, 2018
LIST OF TABLES
Table 1: Top 10 construction machine manufacturers worldwide, 2017
Table 2: Top 10 largest construction contractors in the world, 2016
Table 3: Construction costs in some major cities in ASEAN region, Q4 / 2016
Table 4: Utility expenses in a major city in ASEAN, Q4 / 2016
Table 5: Typical serviced apartments in Hanoi in 2019
Table 6: Typical projects are scheduled to be completed in 2019
Table 7: Typical projects are scheduled to be completed in the near future
Table 8: Typical projects under construction are expected to be completed in the period of 2019-2020
Table 9: Outstanding office leases in Q3 / 2019
Table 10: Typical projects are scheduled to be completed, 2019
Table 11: Large office transactions (> 1000m2) in Hanoi, 2018
Table 12: Typical projects under construction
Table 13: Large office leasing transactions in the city. HCM, 2018
Table 14: Outstanding projects in the period 2019-2020
Table 15: Outstanding projects in Ho Chi Minh City HCM in the period 2019-2025
Table 16: Quality of infrastructure in Vietnam, 2011-2017
Table 17: Vietnam road transport system, 2018e
Table 18: Data of main railway lines, stations, minor roads, 2015-2018
Table 19: Logistics costs of some exports
Table 20: Ranking by LPI activities of Vietnam over the years, 2012-2018
Table 21: Important seaports in Vietnam
Table 22: Ship handling capacity of Vietnamese seaports
Table 23: Operational capacity of some major airports, 2016e
Table 24: Revenue and profit of ACV in 2018
Table 25: Length of transmission grid and total distribution capacity, 2011 – 2017
Table 26: Electricity loss rate of some countries, 2018
Table 27: Results of reducing power loss in 2017-2018
Table 28: Vietnam’s largest cities estimated in 2018
Table 29: Top construction enterprises with the largest revenue in 2018
Table 1: Top 10 construction machine manufacturers worldwide, 2017
Table 2: Top 10 largest construction contractors in the world, 2016
Table 3: Construction costs in some major cities in ASEAN region, Q4 / 2016
Table 4: Utility expenses in a major city in ASEAN, Q4 / 2016
Table 5: Typical serviced apartments in Hanoi in 2019
Table 6: Typical projects are scheduled to be completed in 2019
Table 7: Typical projects are scheduled to be completed in the near future
Table 8: Typical projects under construction are expected to be completed in the period of 2019-2020
Table 9: Outstanding office leases in Q3 / 2019
Table 10: Typical projects are scheduled to be completed, 2019
Table 11: Large office transactions (> 1000m2) in Hanoi, 2018
Table 12: Typical projects under construction
Table 13: Large office leasing transactions in the city. HCM, 2018
Table 14: Outstanding projects in the period 2019-2020
Table 15: Outstanding projects in Ho Chi Minh City HCM in the period 2019-2025
Table 16: Quality of infrastructure in Vietnam, 2011-2017
Table 17: Vietnam road transport system, 2018e
Table 18: Data of main railway lines, stations, minor roads, 2015-2018
Table 19: Logistics costs of some exports
Table 20: Ranking by LPI activities of Vietnam over the years, 2012-2018
Table 21: Important seaports in Vietnam
Table 22: Ship handling capacity of Vietnamese seaports
Table 23: Operational capacity of some major airports, 2016e
Table 24: Revenue and profit of ACV in 2018
Table 25: Length of transmission grid and total distribution capacity, 2011 – 2017
Table 26: Electricity loss rate of some countries, 2018
Table 27: Results of reducing power loss in 2017-2018
Table 28: Vietnam’s largest cities estimated in 2018
Table 29: Top construction enterprises with the largest revenue in 2018
