Skip to main content

Vietnam, third largest rubber exporter, imports $1 billion of synthetic rubber yearly

Vietnam takes pride as one of the world’s biggest natural rubber exporter, but it still has to spend nearly $1 billion a year to import mostly synthetic rubber products to satisfy domestic production.



Vietnam is a big natural rubber exporter



A report of the Ministry of Agriculture and Rural Development (MARD) showed that in November alone, Vietnam imported 46,000 tons of rubber materials, raising the total import volume in the first 11 months to 543,000 tons, worth $1 billion, an increase of 8.8 percent in volume and 1 percent in value compared with the same period last year.

The Vietnam Rubber Association admitted that though Vietnam ranks third in the world in natural rubber production and export with the output of over 1 million tons, it still has to import rubber.

It is estimated that only 20 percent of domestic rubber output is provided to domestic manufacturers.

Domestic sources cannot provide SVR20 and RSS3, the rubber products tyre manufacturers need. They have SVL3L in abundance, but the demand is limited. Household-use appliance and footwear producers also have to import rubber materials because domestically made rubber is unsuitable.

Nguyen Ngoc Lung from the Institute for Sustainable Forest Management and Forest Certification said manufacturers can make some kinds of products with domestic rubber, but cannot make other products with the same rubber materials at reasonable costs.

To organize large-scale production, enterprises have to spend big money to import technologies, machines and equipment. Since enterprises remain unable to import expensive technologies, it is better to import suitable materials.

Nguyen Viet Bac from the Institute of Materials Chemistry and Do Quang Khang from the Institute of Chemistry both explained that Vietnam needs to import rubber because it does not have synthetic rubber.

Khang denied that the quality of Vietnam’s rubber is low, which cannot satisfy requirements, stressing that rubber products Vietnam imports are synthetic rubber, not natural rubber. The former is the material that Vietnamese manufacturers use.

Vietnam, if it wants to make synthetic rubber, needs to have a developed petrochemistry industry. On average, Vietnam needs about 200,000 tons of synthetic rubber a year, a modest consumption level.

Vietnam is a big rice exporter in the world, but it still imports Thai and Japanese rice to sell to high income earners. In the paper industry, some Vietnam’s enterprises can make high-quality products for export to the US, but their products for cement bags are not good.

vietnamnet.vn

Popular posts from this blog

In US–China Trade War, Vietnam Stands to Benefit

As the United States considers imposing further tariffs on China amid ongoing trade tensions, foreign companies operating in China are shifting production to its southern neighbor, Vietnam. The disputes between the world’s two largest economies could prove a significant boon for the Vietnamese economy, which this year reached its highest rate of growth in the eight years.



Official data published by the Vietnamese authorities shows that the country’s GDP has grown by 7.1 percent in the first half of 2018, and its export average surged from 17 percent in 2017 to 20 percent through this June.

Foreign direct investment (FDI) into Vietnam increased by 9.2 percent from January to August in 2017 to $11.25 billion in the same period this year, Vietnam’s investment ministry said last month.

Because of geostrategic and commercial factors, Vietnam is unlikely to be a target of Trump’s trade war, despite its having a $40 billion trade surplus with the United States, said Bill Stoops, chief invest…

Tuyển dụng nhân viên sale xuất nhập khẩu

Công ty cổ phần xuất nhập khẩu Gralimex cần tuyển:

01 nhân viên sale xuất nhập khẩu
Làm việc tại thành phố Thanh Hóa
Ngành hàng: đồ hộp và thức ăn đại gia súc

Yêu cầu có kinh nghiệm ngành xuất nhập khẩu

Liên hệ: Mr Tình 0888 864 836

GRALIMEX, JSC.
Tel: +84 237 8655 789 or +84 975 267 425
Head office: No.4, Quang Hung ward, Thanh Hoa city, Thanh Hoa province, Vietnam
Website: www.gralimex.com (main page) www.gralfood.com (canned food) www.gralfeed.com (animal feed & agriculture residue)
E-mail: sale.gralimex@gmail.com

Vietnam seeks foreign capital for renewable energy projects

By the end of 2018, the total capacity of renewable power projects had accounted for 2.1 percent of total electricity output in Vietnam.

However, Deputy Minister of Industry and Trade Cao Quoc Hung affirmed that developing renewable energy to ease the reliance on traditional power generation methods is one of Vietnam’s priority tasks.

Under the national strategy on renewable energy development for 2015-2030, Vietnam’s electricity output from renewable sources would increase from 58 billion kwh in 2015 to 101 billion kwh in 2020, 186 billion kwh in 2030 and 452 billion kwh by 2050, or 42 percent of total electricity output.

To reach that goal, the government has offered a series of preferences to investors, includng credit access, tax and land rent remissions, and the application of the Feed-in-Tariff electricity pricing mechanism for solar, wind, biomass power.

By the end of 2018, more than 10,000 MW of solar power had been registered by investors, while PPAs (power purchase agreemen…