09:10 | 17/10/2018 Trade
(VEN) - Consumption of cement products in the first eight months of 2018 reached about 63.85 million tonnes, up nearly 30 percent compared to the same period last year and completing nearly 76 percent of the set plan for the whole year. In particular, cement exports have exceeded the annual target.
According to the Building Materials Department under the Ministry of Construction, cement consumption in both domestic and export markets in August was estimated at 7.66 million tonnes, with domestic sales accounting for 5.65 million tonnes. In the export markets, results were more impressive as cement output in August dropped slightly by 0.09 million tonnes compared to July, but increased by 44 percent over the same period in 2017. Cement consumption fell slightly this month compared to July by 0.25 million tonnes.
In the first eight months of 2018, cement consumption in both domestic and export markets was estimated at 63.85 million tonnes. Of this, domestic consumption was estimated at 43.76 million tonnes. The industry is likely to reach its target consumption of 65-66 million tonnes in the domestic market for the whole year. Cement exports in the first eight months of 2018 reached more than 20 million tonnes, exceeding the target of this whole year’s cement exports which was about 18-19 million tonnes.
Experts attributed the increase to favorable weather for construction while expanded cement exports were mainly due to the halt of cement production in a number of cities in China.
Although cement consumption in both domestic and export markets has been increasing, cement surplus is still at an alarming level as a series of new production lines are being added. According to the Vietnam Cement Association, the country currently has 83 cement production lines, with total capacity of 98.56 million tonnes per year. In 2018, three new production lines with total capacity of 10.1 million tonnes per year are expected to be put into operation.
Therefore, the Vietnam Cement Association has asked the government to slow down investment in new cement projects from now to 2025. In addition, promoting investment in improved productivity and product quality, and applying new technologies to save materials are underlined.