Let’s go through the 5 major trends in the construction and building materials industry in 2020, as highlighted by A.Q.A Construction Company:
Amid the booming real estate market in 2020, the construction industry in Vietnam saw significant potential, particularly in infrastructure projects and residential buildings. Additionally, the need to maintain a steady GDP growth required the government to invest in public infrastructure, which served as a driving force for the development of the construction sector.
Industrial Construction, Factories:
With urban land becoming scarcer and fierce competition in residential construction projects, Vietnam was projected to become a new industrial hub in the Southeast Asian region. This signaled a shift from residential construction to industrial construction, such as factories and workshops.
Smart Residential Construction:
Advancements in technology and the development of IoT allowed citizens to demand more from their residential construction projects. The government’s approval of the smart city development plan until 2030 promoted the integration of technology into residential projects. This trend also emphasized the application of advanced building materials to create greener and faster construction, while maintaining high quality. This called for a race within the construction and materials industries to keep up with the times.
Design-Build Approach (D&B):
The design and build approach continued to be a competitive model for construction companies. Previously, projects followed the Design-Bid-Build (D&B&B) model, where Design, Bidding, and Construction were distinct phases. This approach often led to delays and coordination issues. With the D&B approach, construction companies take control of both design and construction, reducing risks and enhancing coordination.
Increased Export Activities:
With abundant limestone resources, Vietnam’s cement production was substantial. However, as the construction sector entered a saturated phase, products like cement became significant export items to countries like Cambodia, the Philippines, and Bangladesh. Moreover, Vietnam’s wood products maintained an advantage in the US wood export market. In 2019, Vietnamese businesses also looked to markets such as China, Japan, and South Korea.