vietnam plastic: an overview and opportunities

VIETNAM
PLASTIC:
AN
OVERVIEW AND
OPPORTUNITIES
Date: 20th October 2015
Vietnam Plastic Industry – An Overview
FACTS & FIGURES
INDUSTRY STRUCTURE
Source: Vietnam Plastic Association
Vietnam Plastic – Export & Import
Plastic is one of Vietnam’s export oriented industry but relies heavily on imported materials
and chemicals. According to Vietnam Plastic Association, 80% of input is imports
Source: Vietnam Plastic Association
Vietnam Plastic: Import Export Commodities
With a simple product portfolio for exports, Vietnam is more of a buyers of basic materials
such as PE, PP, PET
SPLIT OF PLASTIC PRODUCTS FOR EXPORT (by Value)
SPLIT OF PLASTIC PRODUCTS FOR IMPORT (by Value)
Source: Vietnam Plastic Association
Bilateral Trade Between Vietnam & The Britain
TRADE RELATION BETWEEN VIETNAM AND THE UK IN PLASTIC
INDUSTRY (USD THOUSAND)
OUR IMPORTS
120,000
102,024
98,942
100,000
87,371
80,000
60,000
58,582
OUR EXPORTS
40,000
22,424
20,000
14,646
15,185
17,162
0
2010
Import from Vietnam
2011
Export to Vietnam
2012
2013
Linear (Export to Vietnam)
Source: Vietnam Plastic Association
Opportunities in Packaging
PE FILM & BAG
PP WOVEN BAG
MULTILAYER
KEY TRENDS
- Packaging has been the key sector of performance in export and will be
likely to accelerate when EUVN FTA, TPP are in place.
- With advantage in printing technology and flexibility in smaller orders,
plastic packaging manufacturers in Vietnam have been gaining a big plus
compared to their Chinese counterparts in further expanding the
country’s export
- While export is on the rise, domestic demand also plays another growth
factor for packaging. The growing domestic export business in food,
electronic equipment and garments will make the critical mass for
further development
PP WOVEN BAG
FLEXIBLE PACKAGING TUBE
MAIN OPPORTUNITIES
- Vietnam plastic packaging is opting for
greener
materials,
including
environment friendly plastic resins,
chemicals, and additives
- To take the export opportunities that
EUVN FTA and possibly TPP will bring
about and to sustain the competitive
edge in global market, major producers
in Vietnam is renewing their technology
to meet with stricter safety regulations.
Opportunities in Construction, Electronics, Automotive
KEY TRENDS
- In recent years, Vietnam has been embracing an increasing number of new
building materials in which plastic plays an important roles. Plastic flooring tiles,
PVC wall panel, plastic window & doors are trendy and enjoy healthy growth.
- As production cost in China increased, many MNCs in electronics and telephone
are turning to Vietnam for the aggressive incentive policies. Samsung, LG,
Cannon, Intel, Nokia have all set up their production base, creating a huge
demand for high quality technical plastic components and parts.
MAIN OPPORTUNITIES
- Innovative plastic material with high decoration function
will find their good opportunity in Vietnam building
material market.
- Moulding technology, higher profile of plastic processing
machine, and would be the key for Vietnamese
supporting industry to grow further in order to cater the
presence of billion USD factories of Intel, Samsung, LG,
and Cannon.
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