The growing plastic pipes and fittings industry in Vietnam is providing strong momentum for Binh Minh Plastics Joint Stock Co (BMP), a subsidiary of Siam Cement Group (SCG), which is positioning itself to meet rising demand by expanding high value-added and environmentally friendly products in the domestic market.
BMP chief executive Niwat Athiwattananont said Vietnam’s construction boom is driving the surge.
“Vietnam is growing rapidly because the government has invested in infrastructure projects, while private real estate developers continue to expand,” said Mr Niwat.
Vietnam’s plastic pipes and fittings market has averaged annual growth of 9-10%, but BMP has consistently outperformed, recording growth of around 18% a year.
The company operates four plants with a combined capacity of 150,000 units annually, currently producing about 100,000 units. Plans are in place to expand production capacity further to keep pace with demand.
Listed on the Ho Chi Minh Stock Exchange, BMP has focused primarily on the domestic market, which is expanding faster than exports. Still, the company exports to Cambodia and Australia under free trade agreements.
Its nationwide distribution network covers more than 2,500 stores, ensuring strong market penetration.
Jongjarean Jomjakra, deputy chief of SCG Vietnam, said government policies promoting “green cities” are encouraging companies to adopt sustainable practices.
“SCG already offers green innovative products such as pipelines and fittings, which are seeing strong demand in construction,” he said.
BMP collaborates with Nawaplastic Industries in Thailand to enhance efficiency through automation, robotics and technology transfer. This partnership supports the development of high value-added innovations, particularly in BMP’s green product portfolio.
Vietnam’s rapid economic growth is another driver. The country has posted GDP growth of 6-8% annually, the highest in Asean, and the government aims to raise this to 10% within five years.
Foreign investors have flocked to Vietnam, further fuelling demand for construction materials, including plastic pipes and fittings.
