The Philippines is Vietnam's largest importer of cement and clinker.

According to preliminary statistics from the General Department of Customs, in the first eight months of 2024, the country exported nearly 20.55 million tons of cement and clinker, earning nearly 788.8 million USD, a decrease of 3.2% in volume and 14.5% in value compared to the first eight months of 2023. Export prices also decreased by 11.6%, averaging 38.4 USD/ton.

In August 2024 alone, cement and clinker exports decreased by over 7% in both volume and value compared to July 2024, and decreased by 0.18% in price, reaching nearly 2.33 million tons, equivalent to over 90.13 million USD, with an average price of 38.7 USD/ton; compared to August 2023, there was a decrease of 14.3% in volume, 22.5% in value, and 9.5% in price.

The Philippines is Vietnam's largest importer of cement and clinker. Photo: Toan Thang

Major markets such as China, the Philippines, and Bangladesh have reduced their purchases of cement and clinker from Vietnam, leading to a continuous decline in exports of these products since the beginning of the year.

In the first eight months of 2024, cement and clinker exports to the Philippines decreased by 1.8% in volume, 13% in value, and 11.4% in price compared to the same period in 2023. The Philippines is Vietnam's largest market for cement and clinker, accounting for 26.1% of the total volume and 27.2% of the total export value of cement and clinker nationwide, reaching over 5.35 million tons, equivalent to $214.3 million, with an average price of $40 per ton.

Cement and clinker exports to Bangladesh – the second largest market – reached 4.18 million tons, valued at US$133.9 million, with an average price of US$32/ton (a 5.2% increase in volume but an 11.4% decrease in value and a 15.8% decrease in price); accounting for 20.4% of the total volume and 17% of the total value.

Following that is the Taiwanese (China) market, accounting for 4.8% of the total volume and 4.5% of the total value, reaching 994,735 tons, equivalent to 35.55 million USD, at a price of 35.7 USD/ton (a decrease of 17.2% in volume, 24.5% in value, and 8.9% in price).

Over the past eight months, the Chinese market imported 44.6 thousand tons of cement and clinker from Vietnam, worth $1.57 million, a decrease of 93.8% in volume and 94.2% in value compared to the same period last year.

Cement and clinker exports for the first 8 months of 2024. Source: According to data from the General Department of Customs.

The Vietnamese cement industry, currently with a production capacity exceeding 120 million tons per year, but potentially reaching 130-140 million tons per year (thanks to adjustments in additive ratios), is facing unprecedented difficulties as supply is high while both domestic and export demand are shrinking.

In 2023, the cement industry exported more than 31.3 million tons of clinker and cement, bringing in over $1.32 billion, a decrease of 1.2% in volume and 4.1% in value compared to the same period in 2022.

This is the second consecutive year of sharp export declines, hovering around 31-32 million tons. Compared to the record export of nearly 46 million tons in 2022, the cement industry is uncertain when it will return to that level. Given the current market situation, many indicators suggest that exports in 2024 will continue to decline compared to 2023.

According to the Vietnam Cement Association (VNCA), cement and clinker exports this year will continue to face difficulties because the Chinese real estate market shows no signs of recovery, and Chinese cement is also in surplus and is expected to compete with Vietnamese cement in export markets such as the Philippines, Central America, and South Africa.

Source: https://congthuong.vn/philippines-la-thi-truong-nhap-khau-xi-mang-va-clinker-lon-nhat-cua-viet-nam-348506.html