Building materials industry becomes stagnant
05-06-2012
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The production value reached VND23.13 trillion in the five-month period, or 97.8% of the same period last year.
According to the report, the production and consumption of building materials have stagnated with huge stockpiles, attributed to the investment cut by enterprises as well as the frozen property market.
Many enterprises have had to reduce the capacity or halted operation of plants to avoid more losses such as the Hoang Thach cement plant, other cement plants of Song Da Group, the Song Hong steel plant, and the Tien Son granite plant. The capacity reduction and operation suspension have left a negative impact on the production efficiency.
Besides, the estimated cement consumption in the first five months reached 19.56 million tons, dropping by up to 8% from the year-ago period.
