Machinery groups expanding in Vietnam

⚙️ The approximately $60 billion industrial construction equipment market in Vietnam is attracting an increasing number of global manufacturers.

🔁 Vietnam’s economy is profoundly integrated with the global economy, with the total value of import and export turnover equalling 160-200 per cent of GDP in recent years. Vietnam must import the vast majority of machinery and equipment, particularly those used to manufacture high-precision and technical goods.

🧮 According to data from the General Department of Vietnam Customs (GDVC), the total import value of this category of products in 2022 reached $45.1 billion, despite a minor decrease of 2.4 per cent compared to 2021. Vietnam must spend an average of $5-6 billion per year to import construction apparatus and equipment.

🌏 The GDVC also noted that China, South Korea, Japan, and Taiwan are the leading suppliers of machinery to Vietnam. Due to competitive pricing, these four markets account for roughly 70 per cent of Vietnam’s imported machinery. China continued to be the largest supplier of these products to Vietnam in 2022, with a value of $24.29 billion, followed by South Korea ($6.24 billion) and Japan ($4.25 billion).

🚀 To accomplish the industry’s growth objective of approximately 6.5% in 2023, Tong Van Nga, president of the Vietnam Association for Building Materials, predicted that demand for importing and updating new construction machinery and equipment will continue to increase. The construction industry grew by about 8.5% last year.

🏙️ #Vietnam’s urbanisation rate is rapidly accelerating; in 2022, it reached 41.7%, up 1.2% on-year, indicating the enthusiasm of the machinery and equipment market for investment in construction projects.

https://vir.com.vn/machinery-groups-expanding-in-vietnam-101601.html