(photo for illustration) President of the Vietnam Chamber of Commerce and Industry (VCCI) Vu Tien Loc said that recently, foreign investors have made strong investment in domestic real estate market due to their strength in capital, technology and management capacity. However, he held that domestic firms have advantages in understanding the local law and culture, suggesting that foreign and domestic businesses should cooperate for mutual development. Smart real estate is not a playground for short-term business, he stressed. Representatives from the Housing and Property Market Management Agency under the Ministry of Construction asserted that smart city is a development trend of the real estate market in the future with the formation of online trading floors as well as the application of automation inside apartments. Ngo Dong Hai, deputy head of the Party Central Committee’s Economic Commission said that in the rise of the fourth industrial revolution, the majority of … [Read more...] about Smart real estate to be future market trend: experts
Trends construction industry
No, maybe: industry insiders divided on property bubble
Reflecting on previous bubbles in 2008 and 2010, Le Hoang Chau, chairman of the Ho Chi Minh City Real Estate Association (HoREA), said a bubble was highly unlikely in the current situation. Recalling the aftermath of those years, when many people were forced to sell properties at 50 percent of the price they paid, he said, “There is no possibility of such a realty bubble in 2018.” Professor Dang Hung Vo, former Deputy Minister of Natural Resources and Environment, said the market situation now was completely different. “In 2007, land prices in all segments, including agricultural land, rose every week whereas prices rising in a steady manner now, and have actually decreased in some segments,” Vo noted. Ministry of Construction data puts current property inventory value in the country at VND24 trillion ($1.29 billion), down 81.3 percent from the peak in early 2013. This includes VND5.2 trillion ($231 million) in Hanoi and VND4.5 trillion ($200 million) in Ho Chi … [Read more...] about No, maybe: industry insiders divided on property bubble
Cement industry on the clinker road to recovery
Vietnam’s cement market is seeing the light of recovery at the end of the tunnel, thanks to the strong clinker exports. The country’s cement and clinker sales volume reached 80.3 million tonnes in 2017, posting a positive growth rate for the third year in a row. Although domestic consumption has been making up the lion’s share of total sales for several years with over 70 per cent, recent years have witnessed its growth rate slowing down, from 9.5 per cent in 2015 to 1.4 per cent in 2017. While domestic consumption was beginning to stagnate, export activity drove the market, with export volume surging up to 19.7 million tonnes, meaning a strong on-year growth of 27.7 per cent, thanks to increasing demand from key markets like Bangladesh and the Philippines. Besides, China emerged as a potential exporting market, since China’s government implemented an unprecedented pollution crackdown in November 2017, leading to the shutdown of tens of thousands of cement … [Read more...] about Cement industry on the clinker road to recovery
StoxPlus: Cement industry to recover through robust export activities
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Demand: Viet Nam cement market saw the light of recovery thanks to clinker exports As stated in StoxPlus Cement Market Report 2018, the Viet Nam cement and clinker sales volume reached 80.3 million tonnes in 2017, posting an increasing growth rate for three years in a row. Although the domestic consumption contributed to more than 70 per cent of the total sales for several years, the recent years have witnessed a sluggish growth rate from 9.5 per cent (2015) to 1.4 per cent (2017). While domestic consumption sustained its growth, the export activity drove the market with the export volume surging up to 19.7 million tonnes, leading to a robust growth of 27.7 per cent year on year, thanks to the increasing demand from key markets, including Bangladesh and the Philippines. Additionally, China emerged as a potential export market as the Chinese government has implemented an unprecedented pollution crackdown in November 2017, with the country shutting down tens of thousands of cement … [Read more...] about StoxPlus: Cement industry to recover through robust export activities
Construction firms to focus on partner rating system
Viet Nam News HÀ NỘI — Partner rating is a necessary and significant step, directly improving the quality of construction, and indirectly helping to improve the capacity, responsibility and professionalism of enterprises. The statement was made by Ngô Hữu Tiệp, chairman of GIZA Engineering and Construction JSC (Giza E&C) at a conference held in Hà Nội on Monday. Contractors participating in construction are important factors contributing to the success of projects. The ability of partners, especially sub-contractors, as well as the co-ordination between contractors and sub-contractors, has a direct impact on the progress and quality of implementing project, followed by the prestige of the general contractor. Understanding the role of sub-contractors, construction workers and suppliers in the value chain of the construction industry, Giza E&C has researched and issued a partner rating system to help improve the contractor’s … [Read more...] about Construction firms to focus on partner rating system
Solar industry shining bright
Six years after announcing it was leaving Vietnam and then unsuccessfully tried to sell all the assets and facilities at its Ho Chi Minh City-based solar equipment manufacturing project, First Solar last year suddenly declared it planned to return to the country and the city. It set about recruiting large numbers of human resources in mid-January and then held a ceremony to take delivery of the initial equipment needed for producing its latest, high-tech Series 6 photovoltaic (PV) modules in the city’s Dong Nam Industrial Park, where it first operated. Old stamping ground First Solar was initially licensed in early 2011 to invest in a PV module manufacturing project with total investment of $1.2 billion at Dong Nam. Just a few months after getting the project underway, however, it then announced it was suspending operations due to an imbalance between global supply and demand for solar panels. It authorized Cushman & Wakefield to sell all of its facilities in … [Read more...] about Solar industry shining bright
Industry goals for the coming years
Việt Nam’s industry will contribute 40 per cent to the national GDP by 2030, according to a newly issued resolution.– Photo chinhphu.vn HÀ NỘI – Việt Nam’s industry will contribute 40 per cent to the national GDP by 2030, according to a newly issued resolution. Under Resolution 23-NQ/TW to develop the national industry until 2030, with a vision up to 2045, issued recently by the Politburo, the processing and manufacturing industries will make up some 30 per cent. The value of high-tech processing and manufacturing products is targeted to reach at least 45 per cent, while industrial labour productivity will increase by 7.5 per cent on average annually. The industrial growth rate will average over 8.5 per cent, of which the processing and manufacturing industry will see a rise of 10 per cent yearly. The resolution also sets the country’s competitive industrial performance index among the top three countries in the ASEAN, … [Read more...] about Industry goals for the coming years
Growth boosts demand for industrial land
Demand for industrial land around the country is expected to increase thanks to significant growth in terms of both industrial production and FDI. Last year the city’s index of industrial production grew by 7.9 per cent while Ha Noi’s expanded by 7.1 per cent. FDI flows into HCM City topped $6.3 billion while for Ha Noi they were worth $2.4 billion, a national year-on-year increase of 22.5 per cent, and most foreign and domestic investors are seeking to expand production. At HCM City IPs, according to real estate service consultant Colliers International, at the end of 2017 the average annual rent was $142.2 per square metre, an increase of 0.9 per cent from the previous year. HCM City now has 20 operating IPs with a total area of 3,025 hectares. Cu Chi District has the largest number of industrial parks totally measuring 863 hectares, but the price is lowest there at $80 -90 per square metre. By 2025 it is expected that more 2,300ha in eight new industrial parks will come … [Read more...] about Growth boosts demand for industrial land
Solar power construction takes off in Vietnam after nuclear plans scrapped
Vietnam is accelerating the construction of solar power plants to make up for an anticipated power shortfall due to the recent cancellation of several nuclear power projects. Thien Tan Group plans to build five large solar power plants in the southern province of Ninh Thuan at a cost of $2 billion by 2020. A 50-megawatt plant will start operating this year, followed by four plants generating 200-300MW each, according to Nikkei Asian Review. TTC Group, a sugar, energy, real estate and tourism conglomerate, also plans to spend up to $1 billion on solar projects to meet the increasing domestic demand for power. “Vietnam always needs more power every year for its expanding economy,” CEO Thai Van Chuyen told Bloomberg in a report. “The recent pricing set by the government is reasonable, development costs are much cheaper and coal-fired power plants have caused so many concerns,” he said. The Ho Chi Minh City-based company wants to build 10 to 20 solar parks that … [Read more...] about Solar power construction takes off in Vietnam after nuclear plans scrapped
Banking Industry before 4th Industrial Revolution: Plentiful Opportunities, Abundant Challenges
Despite staying out of the list of nine sectors hardest hit by the Fourth Industrial Revolution, the banking industry, typically at the forefront of information technology application, will not stand out of the whirlwind of this Fourth Revolution. Many opportunities The application of high technology, typical of the Fourth Industrial Revolution, will help Vietnamese banks to gain many benefits such as improving profitability by reducing administrative costs, effectively operating the banking system and tech infrastructure, deploying new products and services in a faster and more flexible manner to meet customers' demands for electronic banking services. This will thus help domestic banks develop strongly and compete with advanced banks in the region and in the world. The digital banking model, technologically operated digital devices connected to computer software in the Internet environment, has in fact been, and will be, changing the entire banking structure and providing … [Read more...] about Banking Industry before 4th Industrial Revolution: Plentiful Opportunities, Abundant Challenges