Vietnam to import 3,32,266.5 tonnes of aluminium in 2016, up 19% YOY

<p>The Vietnamese aluminium market is expanding piggybacking the growth of major end user industries such as packaging. Latest studies reveal Asia will be the biggest consumer market of the light metal in 2017 and South-east Asian countries will drive the growth. The aluminium can market in Vietnam, for instance, is expanding by about 10 per cent per annum rate as a result of population growth and rising living standards. Encouraged by the high traction, investments are flowing in with beverage can manufacturing companies like SDK and SAC aiming to continuously expand their business in Vietnam through a stable and speedy supply of products that meet market needs. To meet this increasing demand, the country is sourcing aluminium (both in alloyed, non-alloyed and extruded forms) from different countries which is boosting the import volumes year-over-year.<br /><br />Vietnam imported 2,65.583.07 tonnes of aluminium (alloyed and non-alloyed aluminium ingots) in 2014, which increased 5.28 per cent to reach 2,79,615.11 tonnes in 2015. In 2016, Vietnam's total import volume of aluminium is estimated to reach 3,32,266.5 tonnes, up 18.8 per cent from 2015. <br /><br /><img style="vertical-align: middle; display: block; margin-left: auto; margin-right: auto;" src="http://www.alcircle.com/uploads/images/Vietnam%20Imports%20graph%201.jpg" alt="News" width="517" height="226" /><br />The total value of aluminium imports in Vietnam, in the year 2014, was estimated at US$0.6 billion. The realization decreased in 2015, with the total value reaching US$0.54 billion, down 10 per cent from 2014. In 2016, the value is estimated to rise higher by 8.57 per cent year-over-year to reach US$0.59 billion. <br /><br /><img style="vertical-align: middle; display: block; margin-left: auto; margin-right: auto;" src="http://www.alcircle.com/uploads/images/Vietnam%20Imports%20graph%202.jpg" alt="News" width="517" height="226" /><br />Vietnam has already seen a surge of aluminium imports from China. Shipments of Chinese aluminium extrusions to Vietnam jumped more than 1,000 per cent in 2015 to $US1.9 billion, according to a recent report. Almost 65% of American exports of aluminium extrusions were to Vietnam through August this year, compared with 3% in 2015. The South-east Asian country was also the destination of 91% of Mexico&rsquo;s aluminium-extrusion exports this year&mdash; a rarely used trade route for aluminium in recent years.<br /><br />{googleAdsense}<br /><br />The building and construction industry and the new vehicle market in Vietam have been witnessing steady expansion over the last few years. Buoyed by the end user industry demand aluminium extrusions imports are rising. Vietnam's downstream aluminium sector is also growing simultaneously to meet the growing demand. However, with the demand surpassing the domestic supply, the country is falling back on imports of the primary metal. The trend is expected to continue in 2017 as well, which is evident from the aforesaid rise in aluminium import volumes.&nbsp;</p>