Cement makers seek halt to new licenses on surplus fear

Vietnam’s cement producers asked the government to stop licensing new plants as supply will likely exceed demand for the commodity, according to a statement on the Ministry of Trade and Industry’s website.

Nguyen Van Thien, chairman of Vietnam’s Cement Association, said in the statement that no new plants should be permitted operate “because a surplus of concrete is visible.”

The Southeast Asian country, among the world’s ten- biggest cement producers, may have a cement surplus of more than 10 million tons in 2010 if its 105 plants run at their full capacity, Thien said. Output may exceed 61 million tons next year, compared with domestic demand of 50 million tons.

Thien said exporting the excess is not feasible due to difficulties such as transportation costs and the product’s lifespan, according to the statement.

Tags: ,

Posted by VBN on Sep 19 2009. Filed under Cement. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry

You must be logged in to post a comment Login

Stay informed everyday

Subscribe to free RSS and email updates from Vietnam Business News

Subscribe via Email Subscribe in a Reader Follow us on Twitter Connect on Facebook

RSS China Business News

  • Gold Ends Higher, Dips On Bernanke Speech
  • Gold up after Bernanke’s dim view
  • Gold gained for the first time in three days after U.S. jobless claims unexpectedly rise
  • Stocks close down from opening highs
  • Investors cautious over economic data
  • Accord to lift gas supply sealed
  • CNPC To Sell Bonds
  • Pang Da’s Shares Tumble On Saab’s Bankruptcy Move

Sponsored

Looking for an overseas forex broker?