VIETNAM BUILDING MATERIALS INDUSTRY REPORT Q2/2018

Transcription

1 VIETNAM BUILDING MATERIALS INDUSTRY REPORT Q2/2018

2 Content Abbreviation 3 4 Vietnam market of paving bricks, tiles and stones 32 Executive summary History of formation and development Business environment Value chain of the industry Macroeconomic situation Production - Consumption Legal framework Import export Market overview 14 5 Industry development planning Definition and classification 14 6 Enterprise analysis Production process Enterprise introduction 62 3 World market of paving bricks, tiles and stones Financial analysis Production - Consumption 25 2

3 Abbreviation CAGR Compounded Annual Growth Rate GSO General Statistics Office JSC Joint Stock Company GDVC General Department of Vietnam Customs EVFTA EU Vietnam Free Trade Agreement CI Corporate Income AB Adobe Brick TPP Trans-Pacific Partnership Agreement ODA Official Development Assistance BM Building Materials IMEX Import Export 3

4 Executive summary regional in character. Currently, 88% of baked clay bricks are produced in Asian countries, mainly in China, India and Bangladesh. Rapid urbanization, with an average rate of around 6% per year, accelerates the demand for construction brick. The output of clay and kaolin exploited in Q1/2018 was estimated at 1,415 thousand tons, decreasing by 10.5% compared to the same period in The output of natural quarry exploited in Q1/2018 was estimated at 4,686 million m³, increasing by 12.3% over the same period in Viet Nam's paving brick, tile and stone industry currently accounts for a relatively low share of the construction material sector and is quite 4

5 Executive summary Import turnover of brick and tile in Q1/2018 was estimated at USD 98 million, up 10.6% over the same period in Adobe brick production volume in Q1/2018 reached 1.81 million pieces. Export turnover of stone tiles in Q1/2018 was estimated at USD 5.95 million, up 4.8% over the same period of However, according to some experts, in 2018, the market of building materials will suffer many challenges due to Brick and tile exports in Q1/2018 were estimated at USD million, a slight increase of 10.6% over the same period of

6 Content 1. Business environment 1.1 Macroeconomic situation 1.2 Legal framework 6

7 1. Business environment 1.1 Macroeconomic situation GDP growth rate by quarter, Q1/2018 Contribution to GDP of construction, Source: VIRAC, GSO Source: VIRAC, GSO 7

8 1. Business environment 1.1 Macroeconomic situation VND billion Value of construction sector, M/2017 Urbanization rate in Vietnam, Source: VIRAC, GSO Source: VIRAC, GSO 8

9 1. Business environment 1.1 Macroeconomic situation Population growth in Vietnam, Source: VIRAC, GSO Population pyramid, 2016 Source: VIRAC, GSO 9

10 Content 1. Business environment 1.1 Macroeconomic situation 1.2 Legal framework 10

11 1. Business environment 1.2 Legal framework General regulations related to activities of bricks, tiles and paving stone producing enterprises. 11

12 1. Business environment 1.2 Legal framework 12

13 1. Business environment 1.2 Legal framework Commodity code Description of goods Export tax 13

14 Content 2. Market overview 2.1 Definition and classification 2.2 Production process 14

15 2. Market overview 2.1 Definition and classification 15

16 2. Market overview 2.1 Definition and classification Characteristic comparison between ceramic and granite brick 16

17 2. Market overview 2.1 Definition and classification 17

18 2. Market overview 2.1 Definition and classification Characteristic comparison between Marbe and Granite stone 18

19 2. Market overview 2.1 Definition and classification Comparison between natural stone and artificial stone (Granite, Marble, quartz and mica) 19

20 Content 2. Market overview 2.1 Definition and classification 2.2 Production process 20

21 2. Market overview 2.2 Production process 21

22 2. Market overview 2.2 Production process Production process of baked clay tiles and bricks 22

23 2. Market overview 2.2 Production process Production process of ceramic tiles 23

24 2. Market overview 2.2 Production process Production process of non-baked bricks 24

25 Content 3. World market of paving bricks, tiles and stones 3.1 Production - Consumption 25

26 3. World market of paving bricks, tiles and stones 3.1 Production - Consumption Baked clay bricks Baked clay brick production in the world, 2015 Country Share Volume (billion pieces) Source: VIRAC, Gminsights Consumption of baked clay bricks per capita in some Asian countries, 2015 Source: VIRAC, Gminsights 26

27 3. World market of paving bricks, tiles and stones 3.1 Production - Consumption Adobe bricks Consumption of non-baked materials in the world 27

28 3. World market of paving bricks, tiles and stones 3.1 Production - Consumption Paving brick World production and consumption of ceramic tiles, World ceramic tile production by region, 2016 Source: VIRAC, Ceramicworldweb Source: VIRAC, Ceramicworldweb 28

29 3. World market of paving bricks, tiles and stones 3.1 Production - Consumption Paving brick Top 10 largest paving tile producing countries in the world, 2016 Million m² Source: VIRAC, Ceramicworldweb World ceramic tile consumption by region, 2016 Top 10 largest paving tile consuming countries in the world, 2016 Million m² Source: VIRAC, Ceramicworldweb Source: VIRAC, Ceramicworldweb 29

30 3. World market of paving bricks, tiles and stones 3.1 Production - Consumption Paving stone Top 10 largest paving natural stone producing countries in the world, 2015 Source: VIRAC, Stone Ideas 30

31 3. World market of paving bricks, tiles and stones 3.1 Production - Consumption Paving stone 31

32 Content 4. Vietnam market of paving bricks, tiles and stones 4.1 History of formation and development 4.2 Value chain of the industry 4.3 Production - Consumption 4.4 Import export 32

33 4. Vietnam market of paving bricks, tiles and stones 4.1 History of formation and development 33

34 Content 4. Vietnam market of paving bricks, tiles and stones 4.1 History of formation and development 4.2 Value chain of the industry 4.3 Production - Consumption 4.4 Import export 34

35 4. Vietnam market of paving bricks, tiles and stones 4.2 Value chain of the industry Value chain of brick, tile and paving stone production in Vietnam 35

36 Content 4. Vietnam market of paving bricks, tiles and stones 4.1 History of formation and development 4.2 Value chain of the industry 4.3 Production - Consumption 4.4 Import export 36

37 4. Vietnam market of paving bricks, tiles and stones 4.3 Production - Consumption Production - Overview Number of enterprises and laborers in brick, tile and paving stone industry, Source: VIRAC, GSO Allocation of the number of brick, tile and paving stone enterprises by region, Source: VIRAC, GSO 37

38 4. Vietnam market of paving bricks, tiles and stones 4.3 Production - Consumption Production - Overview VND billion Revenue and profit of brick and tile industry, Source: VIRAC, GSO Investment capital and fixed assets of brick, tile and paving stones industry, VND billion Source: VIRAC, GSO 38

39 4. Vietnam market of paving bricks, tiles and stones 4.3 Production - Consumption Production Construction bricks and tiles Million pcs Production volume of baked clay bricks, Q1/2018e Source: VIRAC, GSO Production capacity of some large enterprises in the industry, 2016 Source: VIRAC 39

40 4. Vietnam market of paving bricks, tiles and stones 4.3 Production - Consumption Production Construction bricks and tiles Million pcs Production of baked tiles, Q1/2018e Source: VIRAC, GSO 40

41 4. Vietnam market of paving bricks, tiles and stones 4.3 Production - Consumption Production Construction bricks and tiles Million pcs Production volume of adobe bricks, Q1/2018 Aggregate cement brick production capacity of some enterprises, 2017 Million pcs/year Source: VIRAC, MOC Source: VIRAC, MOC 41

42 4. Vietnam market of paving bricks, tiles and stones 4.3 Production - Consumption Production Paving brick Million m² Paving tiles production in Vietnam, Q1/2018 Source: VIRAC, MOC Allocation of ceramic tile production capacity by region, 2015 Source: VIRAC, MOC 42

43 4. Vietnam market of paving bricks, tiles and stones 4.3 Production - Consumption Production Paving brick Capacity of large enterprises in tile industry, 2017 Million m²/year Production of Granite, Source: VIRAC, MOC Source: VIRAC, MOC 43

44 4. Vietnam market of paving bricks, tiles and stones 4.3 Production - Consumption Production Paving stone No. Top 10 largest tile manufacturers in Ho Chi Minh City Enterprise Production capacity of paving stone in Vietnam, f Source: VIRAC, MOC 44

45 4. Vietnam market of paving bricks, tiles and stones 4.3 Production - Consumption Consumption - Construction bricks and tiles Consumption of baked clay bricks, Q1/2018e Source: VIRAC, GSO, MOC Consumption of baked tiles, Q1/2018e Source: VIRAC, GSO, MOC 45

46 4. Vietnam market of paving bricks, tiles and stones 4.3 Production - Consumption Consumption - Adobe bricks Billion pcs QTC Demand for bricks, F Consumption share of aggregate cement bricks, 2017 Source: VIRAC, MOC Source: VIRAC, Khanh Minh Tiles 46

47 4. Vietnam market of paving bricks, tiles and stones 4.3 Production - Consumption Consumption - Paving brick Million m² Consumption of paving bricks, Q1/2018e Source: VIRAC, MOC 47

48 4. Vietnam market of paving bricks, tiles and stones 4.3 Production - Consumption Consumption - Paving brick Consumption share of paving bricks, 2015 VND billion Top paving bricks enterprises with the highest revenue, Source: VIRAC, MOC Source: VIRAC, Tổng cục thuế 48

49 4. Vietnam market of paving bricks, tiles and stones 4.3 Production - Consumption Consumption - Paving stone Million m³ Consumption of paving stone, Q1/2018e VND/m² Prices of granite and marble Source: VIRAC, MOC Source: VIRAC, MOC 49

50 Content 4. Vietnam market of paving bricks, tiles and stones 4.1 History of formation and development 4.2 Value chain of the industry 4.3 Production - Consumption 4.4 Import export 50

51 4. Vietnam market of paving bricks, tiles and stones 4.4 Import export Export market structure of bricks and tiles 2017e Source: VIRAC, GDVC,Uncomtrade USD million Exports of bricks and tiles Q1/2018 Source: VIRAC, GDVC,Uncomtrade 51

52 4. Vietnam market of paving bricks, tiles and stones 4.4 Import export Top 10 largest exporting enterprises in Q1/2018 Source: VIRAC, GDVC 52

53 4. Vietnam market of paving bricks, tiles and stones 4.4 Import export Export USD million Export value of paving stone, Q1/2018e Source: VIRAC, Uncomtrade Export market structure of paving stone, 2017 Source: VIRAC, Uncomtrade 53

54 4. Vietnam market of paving bricks, tiles and stones 4.4 Import export Import Import market structure of bricks and tiles, 2017 USD million Import value of bricks and tiles, Q1/2018e Source: VIRAC, Uncomtrade Source: VIRAC, Uncomtrade, GDVC 54

55 4. Vietnam market of paving bricks, tiles and stones 4.4 Import export Import Import market structure of bricks and tiles, 2017e Top 10 largest importing enterprises Q1/2018 Source: VIRAC, Uncomtrade, GDVC Source: VIRAC, Uncomtrade, GDVC 55

56 4. Vietnam market of paving bricks, tiles and stones 4.4 Import export Import Import value of paving stone, Q1/2018e Source: VIRAC, Uncomtrade Import market structure of paving stone, 2017 Source: VIRAC, Uncomtrade 56

57 Content 5. Industry development planning 57

58 5. Industry development planning Planning on demand for building materials to 2020 No Product Unit Domestic demand

59 5. Industry development planning 59

60 5. Industry development planning 60

61 5. Industry development planning 61

62 CONTENT 6. Enterprise analysis 6.1 Enterprise introduction 6.2 Financial analysis 62

63 6. Enterprise analysis 6.1 Enterprise introduction Enterprise Revenue in 2016 (VND Billion) Total assets in 2016 (VND Billion) General information 63

64 6. Enterprise analysis 6.1 Enterprise introduction Name Revenue in 2016 (VND Billion) Total assets in 2016 (VND Billion) General information 64

65 6. Enterprise analysis 6.1 Enterprise introduction Name Revenue in 2016 (VND Billion) Total assets in 2016 (VND Billion) General information 65

66 CONTENT 6. Enterprise analysis 6.1 Enterprise introduction 6.2 Financial analysis 66

67 6. Enterprise analysis 6.2 Enterprise analysis Gross profit margin, Source: VIRAC 67

68 6. Enterprise analysis 6.2 Enterprise analysis Sales expenses/net nevenue ratio Source: VIRAC 68

69 6. Enterprise analysis 6.2 Enterprise analysis Administrative expenses/net revenue ratio Source: VIRAC 69

70 6. Enterprise analysis 6.2 Enterprise analysis Self-financing rate, Source: VIRAC 70

71 6. Enterprise analysis 6.2 Enterprise analysis Payment ratio, Source: VIRAC 71

72 6. Enterprise analysis 6.2 Enterprise analysis Day Average days of sales in inventory, Source: VIRAC 72

73 6. Enterprise analysis 6.2 Enterprise analysis Days of sales outstanding, Source: VIRAC Fixed asset turnover, Source: VIRAC 73

74 6. Enterprise analysis 6.2 Enterprise analysis Profit ratio, Source: VIRAC 74

75 REPORT DISCLAIMER Report disclaimer This document has been prepared in good faith on the basis of information available at the date of publication without any independent verification. VIRAC has produced this report for private circulation to professional clients only. All information and statistical data herein have been obtained from sources we believe to be reliable and made to ensure the accuracy of the contents of the pages of the report at the time of preparation. Such information has not been independently verified and VIRAC makes no representation or warranty, whether express or implied, of any kind with respect to the document and its contents, information and materials. The content found in this report is proprietary to VIRAC and is provided solely for your personal and non-commercial use. You agree that you will not use this report for any purpose that is unlawful and that you will not reproduce the report or redistribute it outside your organization, or place it on a website for public access without the express written permission of VIRAC. SHOULD YOU NEED ANY ASSISTANCE, PLEASE CONTACT US: VIETNAM INDUSTRY RESEARCH AND CONSULTANCY (VIRAC JSC.,) 6 th Floor, Anh Minh Building, 36 Hoang Cau, O Cho Dua, Dong Da, Hanoi, Vietnam Website: viracresearch@virac.com.vn Tel:

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