The cement industry of Vietnam is maintaining a high capacity, and the supply is greater than the demand in the domestic market, putting pressure on manufacturers. From 2020 to now, two new production lines have been put into operation: Tan Thang Cement project (Nghe An); and Long Son Cement project - line 3 in Thanh Hoa. Currently, the country has 90 production lines with a total capacity of 106.6 million tons/year, but can actually produce 122 million tons/year.
According to the Strategy for Development of Building Materials in Vietnam in the 2021 - 2030 period, with a vision to 2050, the government only has to invest more in cement factories with a capacity of 5,000 tons of clinker/day or more (currently, the the average capacity of a project is less than 2,500 tons of clinker/day). By 2025, cement plants with a capacity of less than 2,500 tons of clinker/day must invest in technological innovation, improve productivity, product quality, save energy, and meet environmental standards. At the same time, the rate of using clinkers in cement production must also be reduced.
The Prime Minister allows investment in cement production lines by 2030 with 24 lines, with a total capacity of 36.31 million tons, bringing the total expected capacity of the country to 140.35 million tons/ year with a total of 109 cement production lines.
Besides the pressure of oversupply, the Cement industry also faces pressure to increase input costs such as the price of raw materials for production such as coal, electricity, gasoline, packaging... all increased. Coal is a raw material that accounts for about 30% of the cost structure for cement production, but the price of coal has increased by 20%.
A fierce competition is taking place strongly in the cement market. Because small businesses are still applying outdated technology with high production costs, they are expected to be left behind and even difficult to survive.
Comprehensive restructuring, application of scientific and technological achievements to improve product quality, reduce production costs, especially cement enterprises need to reduce CO2 content in production, pay much attention to the environment. .. After the pressured competition, any business that survives and develops are the brightest "diamonds". Green, sustainable production, reducing emissions causing environmental pollution is becoming an inevitable trend of the Cement industry, a way for businesses to step forward if they want to survive and develop in the new era.
Vietnam Cement Corporation (VICEM) has been implementing projects towards green and sustainable development, in which VICEM cooperates with FLSmidth Group (Denmark) to issue a joint statement on next-generation inventions. new technology Cement industry "Zero emission - natural cycle" (No emission - natural cycle).
The objective is to reduce emissions of gases that affect the environment and to circulate and circulate gases according to the laws of nature, the laws of the living environment, to minimize the use of fossil fuels in production and to minimize the use of fossil fuels. replaced by materials taken from wastes of other economic sectors, and wastes in daily activities of society such as garbage, sludge, ash, construction material waste... At the same time, application of algorithms in the field of computing to establish an intelligent control system to meet the gas circulation, use of alternative fuels, waste treatment, improve efficiency of use and power generation.