Strengthening management of construction material prices, ensuring progress of key projects

Prime Minister Pham Minh Chinh has just issued Official Dispatch No. 85/CD-TTg dated June 10, 2025, sent to the Ministers of the Ministries of Public Security, Construction, Agriculture and Environment, Industry and Trade; Chairmen of People's Committees of provinces and centrally run cities, on strengthening solutions to manage and stabilize construction material prices.

According to the dispatch, currently, key transport infrastructure projects are being simultaneously deployed and accelerated. Along with that, many civil works, housing for people and real estate projects in many localities are also being launched, creating momentum to promote socio -economic development. The Government is determined to achieve the growth target of 8% in 2025, thereby creating a solid foundation for the economy to break through and achieve double-digit growth in the period 2026 - 2030.

In response to that demand, the Government and the Prime Minister have continuously directed ministries, branches and localities to focus on ensuring the supply of construction materials, especially for key national infrastructure projects.

However, recently, the prices of many construction materials such as sand, gravel, stone, bricks, and filling materials have increased abnormally, increasing investment costs and affecting construction progress. The main causes are the imbalance between supply and demand, bottlenecks in granting mineral exploitation licenses, as well as speculation, hoarding, price hikes, and signs of market manipulation and disruption.

The Prime Minister directed to strengthen management solutions and stabilize construction material prices.

Closely follow market developments, proactively control and reduce construction material prices.

In order to promptly overcome shortcomings, rectify the situation of increasing construction material prices and ensure the progress of key projects, the Prime Minister requested the Minister of Construction to closely coordinate with localities to closely monitor market developments, especially price fluctuations for materials such as sand, stone, gravel, bricks, filling and road-building materials, etc. On that basis, units need to proactively propose and implement appropriate and effective price reduction solutions. In cases beyond authority, it is necessary to promptly report to competent authorities for consideration and handling.

The Minister of Construction urgently reviews, directs, and guides localities to assess and synthesize the demand for construction materials; at the same time, coordinates with the Ministry of Agriculture and Environment in planning, identifying mines, supply sources, capacity, and actual response capabilities. The goal is to balance supply and demand nationwide and promptly handle local shortages in each locality, to be completed before June 20, 2025.

Along with that, localities need to be strengthened with guidance to promptly update and publish construction material prices and construction price indexes by locality, ensuring that they accurately reflect the cost structure and are close to the market price level.

Strengthen inspection and direction of construction material production enterprises to reduce costs, save energy, invest in modern technology, use alternative materials, develop improved materials to reduce costs and improve production efficiency.

In addition, the promotion of the production and use of unburnt building materials to replace burnt clay bricks is also emphasized. This is a solution to effectively use land resources, reduce greenhouse gas emissions and limit environmental pollution. According to the Program for the development of unburnt building materials by 2030 approved in Decision No. 2171/QD-TTg dated December 23, 2021, the goal by the end of 2025 is to increase the rate of use of alternative materials to 35-40%, contributing to reducing over 2.5 million tons of CO₂ per year.

Promoting procedural reform and perfecting the legal framework on mineral exploitation

The Prime Minister requested the Minister of Agriculture and Environment to urgently complete and submit for promulgation, in a shortened order, the Decree guiding the implementation of the Law on Geology and Minerals before July 1, 2025. In particular, it is necessary to focus strongly on decentralization and decentralization according to Conclusion No. 115-KL/TW of the Politburo and the Secretariat; at the same time, it is necessary to minimize administrative procedures and business conditions related to the licensing of mineral exploitation, especially common minerals used as construction materials, in order to promptly resolve the shortage of sand, gravel, stone, filling materials, roadbed materials, etc.

Immediately review and simplify administrative procedures related to land and environmental impact assessment in the mineral exploitation sector. The goal is to cut at least 30% of the time and cost of implementation for 515 administrative procedures and 859 business conditions under the Ministry's management, to be completed before June 15, 2025. The authorities also need to speed up the processing of mineral exploration and exploitation licensing applications, ensuring a stable and smooth supply of raw materials, without interruption due to cumbersome and overlapping administrative barriers.

Urgently amend and supplement legal regulations in the direction of expanding the scope and subjects licensed to exploit Group IV minerals, allowing direct licensing to contractors, while eliminating intermediary stages that can easily lead to negativity and corruption. Particularly for the Mekong Delta region, the exploitation of minerals for construction materials and landfills should be subject to the same mechanism as for Group IV. The deadline for completion is before June 20, 2025.

The Government also assigned the Ministry to direct localities to carry out planning, surveying, assessing the reserves and quality of mineral mines, reclaiming land to grant additional licenses or adjust mining capacity, ensuring the balance of supply and demand of construction materials in the area. This also needs to be completed before June 20, 2025.

In addition to reform, mining activities also need to be strengthened in inspection and supervision to ensure transparency in mining rights auctions, create fair access for all businesses, eliminate group interests and market manipulation.

Step up investigation, comprehensive and definitive assessment of resources at construction material mines and sea sand sources.

Strictly handle acts of profiteering and manipulation of the construction materials market

The Minister of Industry and Trade directed the market management force to strengthen the inspection and supervision of the construction materials market. In particular, it is necessary to promptly detect and strictly handle acts of speculation, hoarding, unreasonable price increases, and at the same time thoroughly eliminate goods of unknown origin, counterfeit goods, fake goods, and poor quality goods.

The Ministry of Public Security shall preside over and coordinate with relevant agencies to investigate and thoroughly handle organizations and individuals who manipulate prices and speculate for profit in the production and trading of construction materials. At the same time, strictly handle acts of covering up, protecting, assisting violations or lack of responsibility in supervision and inspection, causing violations to recur without being promptly handled.

The Government Inspectorate urgently identifies key areas and conducts inspections of common construction material supplies, ensuring the detection and strict handling of violations in accordance with legal regulations.

Prioritize material supply for key projects and urgent civil works

The Prime Minister requested the Chairmen of the People's Committees of provinces and centrally run cities to urgently review, evaluate and synthesize the demand for construction materials in their localities. On that basis, it is necessary to plan, identify mines, supply sources, capacity and supply capacity; at the same time, speed up the licensing process, extend, adjust mining capacity or hand over mines directly to contractors for projects lacking material sources, especially key national projects. The goal is to ensure a balance between supply and demand and promptly handle local bottlenecks in supply, to be completed before June 20, 2025.

Localities should strengthen inspection, supervision, urging, and closely monitor developments in the construction materials market. Proactively propose solutions within their authority and promptly report to superiors on issues beyond their authority. In particular, it is necessary to strictly control price declaration and posting, ensure transparency, publicity, and prevent speculation and price inflation.

The updating and announcement of construction material prices and construction price indexes must be done promptly, reflecting the correct cost structure and in line with market developments. For materials with unusual price fluctuations, prices must be announced periodically every month or earlier when necessary, ensuring timely handling of urgent situations.

Material supply should be prioritized for key national projects, projects with early completion dates and urgent civil works.

In addition, localities also proactively conduct field inspections and strictly handle violations in the exploitation, transportation and trading of construction materials. At the same time, thoroughly handle illegal gathering and trading points. The Chairman of the Provincial and Municipal People's Committees shall be responsible if violations recur, if there is a lack of determination in direction, management or if the handling is not thorough.

The Government strongly encourages the production and use of artificial sand, processed sea sand, recycling waste into construction materials and developing new materials to expand supply, contribute to price stabilization and ensure stability of the domestic construction materials market. Effective and innovative production and business models need to be replicated and effectively managed.

The Prime Minister assigned Deputy Prime Minister Tran Hong Ha to directly direct, inspect, urge and handle related arising issues. In case of exceeding authority, it must be reported to the Prime Minister for consideration and decision.

The Government Office is responsible for monitoring, promoting and regularly urging the implementation of the tasks stated in this Official Dispatch.

Duy Khanh

Source: https://doanhnghiepvn.vn/kinh-te/tang-cuong-quan-ly-gia-vat-lieu-xay-dung-bao-dam-tien-do-cac-du-an-trong-diem/20250610030105086