Cement clinker for export

The government issued a decree on May 19, amending and supplementing a previous one from May 2023, regarding export tariffs and preferential import tariffs, list of goods.

From May 19, the export tax rate for cement clinker will be reduced to 5 per cent. From January 1, 2027, the tax rate will revert to 10 per cent.

Reducing the export tax rate to 5 per cent will provide cement clinker production enterprises with over one year to adjust their production and business plans and address inventory issues.

According to a report by the Ministry of Construction, there are currently 92 cement production lines nationwide, with a total capacity of 122.34 million tonnes per year. In 2024, the total consumption of cement and clinker was approximately 95 million tonnes, a 1 per cent increase compared to 2023.

Domestic cement consumption reached about 65.3 million tonnes, up approximately 3 per cent compared to 2023, while exports amounted to about 29.7 million tonnes, down approximately 5 per cent in volume compared to the same period in 2023. The export value was estimated at $1.136 billion, a 14.2 per cent decrease from 2023.

Currently, cement production lines are operating at an average of about 77 per cent of their designed capacity. Thirty-four production lines have had to suspend operations for one to six months, with some lines halted for an entire year, and many cement production enterprises have incurred losses.