Displaying items by tag: Vietnam

Asia Cement unveiled a selective catalytic reduction (SCR) unit at its Jecheon plant this week. The Korea Cement Association (KCA), government representatives and staff from other cement companies were present at a demonstration. The US$25m project has been supported by the Ministry of Industry and Trade. It was originally announced in late 2023, has been running on a pilot basis for two months, and is expected to start full operation shortly. The cement sector in South Korea will be subject to tighter emissions controls in mid-2027 and further SCR installations are expected.

Earlier in 2025 the KCA estimated that installing SCR units on all 35 active clinker production lines in the country would cost around US$675m with an additional annual running costs. One point to note here is that one of the local sector’s commonly used alternative fuels (AF), waste synthetic resin, impedes the SCR process. Subsequently, it has to be run at higher temperature, which increases running costs.

The local cement industry has faced a mixed response to its uptake of AF in recent years. One strand of this has been a movement against so-called ‘trash cement.’ This culminated in the Ministry of Climate, Energy and Environment amending the Waste Management Act in November 2025 to make it mandatory for cement products to disclose on the packaging the means to check which ‘waste’ materials were used in their manufacture. This appears to include both supplementary cementitious materials (SCM) and AF. The government is now intending to make it possible for citizens to check the type of cement used in newly-constructed buildings. The KCA reported that the share of blended cements (i.e. those made with SCMs) was 15% in 2024. The rate had gradually decreased over the last decade from 19% in 2015. South Korean cement producers had a AF co-processing rate of 35% in 2021. The main fuels being used in this way were waste synthetic resin, waste tires and waste rubber, with the first being used the most.

Graph 1: Cement sales in South Korea, 2019 - 2025. Source: Korea Cement Association.

Meanwhile, cement producers in South Korea have turned to exports in 2025 in response to poor construction levels and growing input costs. The KCA revealed this week to local press that exports are expected to grow by 52% year-on-year to 4.5Mt in 2025 from 3Mt in 2024. Local shipments, however, are anticipated to fall by 16.5% to 36.5Mt from 42.9Mt. Producers have focused their export strategies towards South America and Africa in response to competition in the export market in South-East Asia from China and Vietnam, producers. For example, Halla Cement started targeting Cameroon and Guinea in 2025 following previous favourite destinations such as Peru and Chile. Exports are still lower than they were in the mid-2010s. In 2015, for example, the country exported 7.3Mt of cement and clinker. However, the share of the share of exports to total sales is at its highest level for at least a decade.

The necessity of running kilns at certain levels rather than simply idling them has also emerged in recent reporting. The reason given was to “...maintain a minimum allocation of carbon emission allowances.” The detail is lacking but this may sound familiar to readers familiar with the European Union (EU) Emissions Trading Scheme (ETS). Following the financial crash in 2008, for example, an over-allocation of carbon credits enabled some producers to make money despite falling demand for cement. This is not to say that the same thing is happening in South Korea. Merely, that any ETS can potentially face structural issues in a declining market.

The South Korean cement market is facing tough times, with the KCA further anticipating a decline of 1.3% in 2026. Environmental regulations such as the new emissions controls are further putting up costs. One peculiarity of the local market is the scrutiny that the easiest routes to decarbonisation, SCAs and AFs, are facing. Giving the public the tools to check this kind of information is admirable. Yet it creates extra hurdles for a sector trying to decarbonise at the same time as a construction market construction. Good luck!

The Global CemFuels Asia Conference will take place on 2 - 3 February 2026 in Bangkok

Vietnam: The country exported 3.5Mt of cement and clinker worth US$128m in October 2025, up by 30% in volume and by 20% in value year-on-year, according to data from the government-run National Statistics Office (NSO).

From January to October 2025, exports were 29.8Mt, valued at US$1.11bn, representing an increase of 20% in volume and 10% in value compared to the same period in 2024.

In 2024, Vietnam exported 29.7Mt of cement with a value of US$1.14bn, down by 5% in volume and by 10% in value from the previous year.

Vietnam: Domestic cement sales reached about 18Mt in the third quarter of 2025, equal to 79% of second-quarter levels, according to the Construction Industry Development Centre (CIDC). The decline was attributed to prolonged storms and seasonal factors that disrupted operations and transport. Rising electricity, raw material and fuel costs also put pressure on production costs and profit margins.

By contrast, cement and clinker exports rose to nearly 9.5Mt, up on both the previous quarter and the first nine months of 2024. The increase was driven by efforts to expand into new markets in the Middle East, Africa and Eastern Europe, offsetting lower demand from the US, Taiwan and the Philippines. The Vietnam Cement Market Report noted that export profit margins remain under pressure due to high logistics costs and falling prices. The US’ 20% import tax on Vietnamese cement and Taiwan’s anti-dumping duties (in place until 2030) are also prompting companies to reassess pricing and market strategies.

According to the Vietnam Association of Building Materials, the final months of 2025 will bring ‘continued challenges’ from rising energy and input costs, but improving weather, faster public investment disbursement and signs of recovery in real estate are expected to boost demand for construction materials.

Vietnam: VICEM Ha Tien Cement has signed an engineering, procurement and construction (EPC) contract for a waste heat recovery power generation project at its Kien Luong cement plant. The agreement is valued at US$7.5m, and was concluded with a consortium of Sinoma International Engineering, Viet Industrial Construction and Installation, and Viet Tuan Trading Construction Architecture.

The consortium will design, supply, construct and install the system, which will utilise residual heat from the clinker line to generate electricity. The project is set for completion within 16 months, and will meet a ‘considerable portion’ of the plant’s internal power needs, according to S&P Global.

Vietnam: Industry leaders have argued that co-processing of non-recyclable plastic waste in cement kilns could be a scalable solution to advance Vietnam’s sustainability and circular economy goals. At a workshop held in Hanoi on 2 October 2025, the Norwegian Foundation for Scientific and Industrial Research (SINTEF) and the Royal Norwegian Embassy, in partnership with the Vietnam National Cement Association (VNCA), concluded the OPTOCE Project (‘Ocean Plastic Turned into an Opportunity in Circular Economy’), funded by the Norwegian government.

Norwegian Ambassador to Vietnam Hilde Solbakken said “Combating marine plastics and climate change is a top priority for Norway – both globally and in Vietnam. Through OPTOCE, we’ve seen how science-based solutions like co-processing can transform plastic waste into a resource that benefits the climate, the economy and communities.”

OPTOCE was originally launched as a regional initiative in five countries, including Vietnam, and later expanded to eight countries across Asia. The workshop featured several presentations and a panel discussion focusing on the legal framework, potential waste supplies, and the practices and challenges in implementing co-processing in Vietnam.

Dr Kåre Helge Karstensen, chief scientist and programme manager of OPTOCE, added that the initiative has proven co-processing to be both technically feasible and environmentally sound. “The next step is to move beyond pilots and integrate this solution into national policy frameworks to drive systemic change,” he said.

Dr Lương Đức Long, VNCA vice president, said Vietnam’s cement industry is already applying co-processing successfully. “Co-processing waste in cement kilns is a safe and effective solution. We hope the government introduces specific policies and incentives that support enterprises and technology transfer. If we join forces, co-processing will turn wastes into ‘black gold’ and cement factories into ideal co-processing hubs,” he said.

Vietnam’s cement plants, including INSEE’s Hon Chong facility in Kien Giang and Lam Thach Green Cement (QNC)’s plant in the north, have piloted this approach since 2021, achieving thermal substitution rates of 35–40%.

Vietnam: Cement production reached 137Mt in the first nine months of 2025, marking a 15% year-on-year increase, according to data from the National Statistics Office (NSO).

In September 2025, output totalled 16.2Mt, up by 28% compared to the same month in 2024. The NSO’s revised figures show that Vietnam produced 184Mt of cement in 2024, a 3.5% increase year-on-year.

World: Price reporting agency Platts, part of S&P Global Energy, has collated the latest data on the global seaborne cement trade in the first half of 2025. Citing research by shipbroking house Howe Robinson Partners, it reported total volumes of 107Mt in the six-month period, up by 7% year-on-year from 100Mt in the first half of 2024. This is the largest global first-half volume recorded since 2021. Full-year seaborne cement trade volumes were 207Mt in 2024, up by 1.5% from 204Mt in 2023.

Vietnam and Türkiye remained the leading global cement exporters, with 16.1Mt and 12.5Mt, 15% and 12% of the total, respectively. Both countries slightly increased their export volumes. Next up in the rankings, Egyptian shipments rose by 14% to 10.9Mt, overtaking Iran, with 6.5Mt (down by 10%). Other rapid growth geographies included Indonesia, with 7.2Mt (up by 22%) and Pakistan, with 4.4Mt (up by 26%).

On the import side, despatches to the US fell by 1% to 11.4Mt, while Bangladeshi imports rose by 9% to 8.7Mt. West Africa was the largest regional market in terms of volumes. It imported 11.8Mt, up by 17%.

Vietnam: The country exported 19.8Mt of cement and clinker worth US$745m in the first seven months of 2025, up by 9% in volume and 7% in value year-on-year, according to the General Department of Vietnam Customs. The Philippines remained the largest buyer with 3.87Mt worth US$147m, accounting for nearly 20% of total shipments. However, exports to this market fell by 17% in volume and 21% in value compared to 2024. Bangladesh ranked second with 3.53Mt worth US$116m, while Taiwan and Malaysia followed, each importing more than 850,000t.

Vietnam: Vinh Long Province has called on national ministries to introduce preferential policies to encourage the use of coal ash and slag from the Duyen Hai thermal power centre as construction materials, reports The Saigon Times. According to the Vietnam Cement Association, coal ash and slag from thermal power plants have been certified by the Institute for Building Materials under the Ministry of Construction as suitable for use as cement additives, which could reportedly help to ease shortages of construction materials while addressing the disposal of industrial waste in landfills.

The provincial People’s Committee has proposed that the Ministry of Construction and the Ministry of Finance issue mechanisms that prioritise coal ash and slag over natural resources in traffic and civil construction projects. It also called on the Ministry of Science and Technology to work with agencies to review and update technical standards for using thermal power by-products. By the end of 2024, 4.37Mt of coal ash and slag had accumulated at the Duyen Hai thermal power centre in Vinh Long. Nearly 700,000t more has been generated since January 2025.

Vietnam: Vietnam’s cement sector is in the midst of a turnaround, as local newspaper The Star reports that several companies published profits despite pressures from oversupply. Vicem Ha Tien Cement reported consolidated sales of over US$73.6m in the second quarter of 2025, with a net profit of US$4.41m, compared to a loss of US$0.36m in the first quarter of 2025. This marks the company’s highest profit and ends an 11-quarter run of poor results.

Revenue rose by 1% year-on-year, while net profit increased by 146%, supported by an 8.5% rise in cement consumption and lower costs from improved production cost control.