Want to be in the loop?
CONSTRUCTION MATERIAL PRICES RECOVER ALONG WITH ECONOMY POST-COVID
Prices of construction materials such as steel, bricks and sand are recovering post-pandemic, hitting contractors’ profits.
Cao Văn Hồng, a contractor, told Thanh Niên newspaper that the cost of construction materials had been rising for the last few months.
Associate Professor Ngô Trí Long, former rector of the Ministry of Finance's Price and Market Research Institute, said prices were up by around 20 per cent year-on-year.
Steel, which accounts for 20 per cent of the cost of a building, has increased by 40 per cent.
Construction sand is becoming scarce in the Mekong Delta, a major supplier, and buyers wanting large quantities have to wait for a month and often pay more than the originally quoted price.
Lê Như Thùy My, director of the Nhân Quốc Ceramic Tiles Company in Đồng Nai Province, said there had been a slight increase in ceramic tile prices due to a rise in packaging costs and the rising electricity, petrol, coal, and transportation costs.
The spike in costs is forcing contractors to increase prices or delay work to prevent losses.
Nguyễn Quốc Hiệp, chairman of the Viet Nam Association of Construction Contractors, said many contractors signed fixed-price contracts and so took a hit when costs rise.
Construction accounts for nearly 10 per cent of Việt Nam’s GDP.
1. Locomotive brake supply-bid extend2. Electric equipment and materials supply3. Chemical, plastic particle and carton box supply4. Equipment supply and installation5. Anti-lightning system installation----and more news
1. Mobile e-commerce projected to hit $7 billion in revenue in 2021 2. Vietnamese startup Nano raises $3 million for on-demand payroll app 3. Exports enjoy surge despite latest COVID-19 challenges 4. Vietnam's rubber export value sees surge in four months 5. Smart homes enjoying promising future ----and more news
Vietnam-ASEAN trade turnover has increased rapid over the last 26 years (1995-2021), contributing to the development of Vietnam and other ASEAN member states.
Digital transformation and e-commerce will continue to thrive in 2021 and create a new catalyst for economic growth, according to experts. This is also an opportunity for Vietnamese companies to develop new business strategies.
The State Bank of Vietnam (SBV) has requested local credit institutions and foreign banks’ restrict lending concentration for real estate and construction, Build-Operate-Transfer (BOT) and the consumption sector.
There will be little change in current trends of mergers and acquisitions in Vietnam’s logistics industry this year as domestic players remain sellers and Asian investors continue to gain the upper hand.