Global businesses take part in Contech Vietnam 2023

The inaugural ceremony for Contech Vietnam 2023. Photo: Angela Nguyen

Tong Van Nga, president of the Vietnam Association for Building Materials, said on April 21 that Contech Vietnam 2023 generated fresh chances for collaboration between managers, researchers, and manufacturing and trading firms in the construction industry in Vietnam and around the world, promoting the market's recovery after the pandemic.

He said Vietnam's construction industry had undergone "significant changes in many respects" as a result of the country's large market size and abundant human resources, particularly in the areas of technology, construction, and management. A number of significant Vietnamese businesses have attained international competitiveness.

China, Korea, Japan, and Taiwan are the top suppliers of machinery to Vietnam. Due to competitive pricing, these four markets account for roughly 70 per cent of Vietnam's imported machinery. In 2022, China continued to be the largest market, supplying Vietnam with these products worth $24.29 billion, followed by South Korea with $6.24 billion and Japan with $4.28 billion.

Nga stated that despite the impact of the pandemic, the construction industry still grew by 8 to 8.5 per cent in 2022. The national urbanisation rate is estimated to be 41.7 per cent, an increase of 1.2 per cent compared to 2021, which demonstrates the vibrant nature of the market for machinery and equipment serving construction investment.

Domestic market development and international competition will be on the rise in 2023. Nga predicts that the demand for importing and updating new apparatus and equipment for the construction industry will continue to rise to meet the industry's development target of approximately 6.5 per cent in 2023.

Vietnam's construction market, valued at approximately $60 billion in 2021, remains a shining point in the Asia-Pacific region. Vietnam Report's April 5 report on the Top 10 Construction-Material Companies of Vietnam in 2022 indicates a growth rate of over 8.71 per cent for 2022–2027.

Le Ngoc Duc, head of Hanoi Advertisement and International Fair, said that Contech Vietnam 2023 had many positive innovations and was the destination of top brands in the construction, mining, and transport industries.

Contech Vietnam 2023 was inaugurated in Hanoi with 100 exhibits from 60 Vietnamese companies and countries from the region and around the globe, including China, Korea, Singapore, Australia, India, and Germany.

Potential for 6.6 per cent GDP growth in 2023 Overall growth momentum is likely to moderate further this year, as policy tightening from major central banks weighs on external demand. With that, UOB has kept its 2023 GDP growth forecast at 6.6 per cent.

Cement businesses anticipate headwinds in 2023 Huge inventories, a stagnant real estate market, and capital source constraints are some of the factors heralding an unfavourable outlook for cement businesses in 2023.

ADB sets moderate 2023 growth outlook for Vietnam After a strong performance last year, the Vietnamese economy can expect moderate growth of 6.5 per cent this year, followed by a slight improvement to 6.8 per cent in 2024, according to a recent economic publication from the Asian Development Bank (ADB).