Primeval plastics and synthetic rubber are important input materials for many industries, especially plastics and automobile industry. In 2014, the total primeval plastics production was about 311 million tons with the average growth rate of 4.5% from 2010-2014. Some big polymer producers in the world such as: Dow Chemical, SABIC, Lyon, Exxon Mobil, Formosa, Total SA, Bayer, Celanese, Chi Mei Co., Eastman Chemical Company and Mitsubishi Chemical Holding Co.…

The development of the polymer industry relates to the petrochemical industry and is affected by the price fluctuation, supply and demand for the main raw materials like crude oil, gas. With the advantage of the highest oil reserves in the world, The Middle East emerges the developed petrochemical market; however, the markets in North America and Asia-Pacific are rising to be the rivals through big scale production project to make use of cheap materials of shale gas or coal. Global polymer production capacity is expected to continue growing at the average rate of 3.9% from 2015 to 2020 (according to ICIS). Nowadays, plastics is widely used to replace metal, glass, paper and other traditional materials due to the light weight, high durability, flexibility in designing and low cost. Thermoplastics segments are expected to have the highest growth in upcoming year. The growth of technical plastics in different sectors such as building & construction, automobile is also a motivation factor for the plastics production.

In Vietnam, the refining and petrochemistry just started to develop and Dung Quat Refinery is the only operating one in the whole country. In addition, there are 2 joint- venture PVC factories (Vinachem- TPC Vina (Thailand) and Petrovietnam-Petronas), 1 DOP factory (Petrovietnam, Vinachem and LG), which is the support product for using PVC commonly used in building & construction. Total domestic production only met about 20% of domestic demand; hence the rest needs to be imported. Every year, plastics materials rank amongst top 10 products with the highest import turnover, mainly from ASEAN and China. Particularly with synthetic rubber, Vietnam still has to import 100 percent for the incapability of producing in the country.

In recent years, the Vietnam’s plastics industry has been highly appreciated regarding the growth rate compared to other ASEAN countries (second after Thailand with the production capacity of 4.2 million tons/year). Vietnam is also one of the countries with the fastest growth rate in plastics industry in the world. Many big scale petrochemical projects which are and will be launched in the upcoming time promise to increase the self-supply capability of the plastics and rubber industry that has already had the high growth potential in Vietnam.

I. Business environment 6 – 15
1. Macroeconomic situation 6 – 9

Figure 1. GDP growth

Figure 2. Plastic resin’s import turnover and its contribution to total turnover

Figure 3. VND/USD exchange rate

Figure 4. CNY/USD exchange rate fluctuation in the first 6 months of 2016

Figure 5. Capitals and shares in plastic companies of Siam Cement Capital co.

 
2. Legal framework 10 – 13
3. Trade agreements 14 – 15
II. Global market 16 – 54
1. Definition and classification 16 – 19

Figure 6. Used polymer structure

Figure 7. Thermoplastic production share

Figure 8. Thermoset plastic production share

Figure 9. Synthetic rubber production structure

 
2. Chain value of the industry 20 – 22
3. Production chain 23 – 25

Figure 10. Products gained from naphtha distillation

Figure 11. Products gained from Ethylene distillation

 
4. Input materials 26 – 36

Figure 12. Monomer input materials structure

Figure 13. Global ethylene supply and demand

Figure 14. Ethylene’s application

Figure 15. Ethylene production capacity and demand by region,2015

Figure 16. Global ethylene prices

Figure 17. Global ethylene trade

Figure 18. Global ethylene exports/ imports structure 2014

Figure 19. Ethylene import structure 2014

Figure 20. Global propylene supply

Figure 21. Propylene usage structure

Figure 22. Global Propylene trade

Figure 23. Propylene price

Figure 24. Global butadiene capability and production

Figure 25. Butadiene production structure by country 2015

Figure 26. Butadiene usage structure 2014

Figure 27. Butadien price fluctuation

Figure 28. Butadiene demand by region 2014

Figure 29. Global benzene demand

Figure 30. Global Benzene usage structure 2014

Figure 31. Europe benzene spot price spread to naphtha

 
5. Plastics resin 37 – 48

Figure 32. Global polymer production

Figure 33. Polymer production structure by country 2015

Figure 34. Polymer usage structure by area 2015

Figure 35. Average plastic consumption per capita 2015

Figure 36. Global polymer demand

Figure 37. Polymer demand by region 2015

Figure 38. Polymer consumption structure by product

Figure 39. Global PP consumption by country 2015

Figure 40. PE consumption structure by country 2015

Figure 41. Fluctuation of polymer price

Table 1. Global Polyolefin trade (PP, PE) 2014

Figure 42. Global polymer trade

Figure 43. PVC production and consumption in China

Figure 44. Europe’s polymer production

Figure 45. Polymer production in America

Figure 46. Polyolefin production and consumption in Malaysia

Figure 47. Polypropylene production and consumption in Thailand

 
6. Synthetic Rubber 49 – 54

Figure 48. Global rubber production and consumption

Figure 49. Rubber production structure in the world

Figure 50. Global rubber consumption structure

Figure 51. Global synthetic rubber production and consumption

Figure 52. The structure of synthetic rubber consumption by product

Figure 53. Synthetic rubber production and market shares

Figure 54. Synthetic rubber consumption and market shares by region

Figure 55. Global price volatility off natural rubber and synthetic rubber

Figure 56. Global synthetic rubber trade

Figure 57. Top 5 countries with the largest value of synthetic rubber import – export 2015

 
III. Vietnam’s market 55 – 66
1. Plastics resin 55 – 62

Table 2. Plastics capacity and water additives

Figure 58. Polymer output in Vietnam

Figure 59. Polypropylene supply and demand in Vietnam

Figure 60. Polymer consumed in Vietnam

Figure 61. Polymer consumption structure by sector in Vietnam

Figure 62. Polymer’s import in Vietnam

Figure 63. Polymer import structure by volume

Figure 64. Polymer import structure by value 2014

Figure 65. Import market structure of polymer by value, H1/2016

Figure 66. Average import price of some primary polymer’s types in Vietnam

Figure 67. Import market structure of polymer by value, H1/2016

Figure 68. Polymer export turnover

Figure 69. Export market structure of Polymer 2015

 
2. Synthetic rubber 63 – 65

Figure 70. Synthetic rubber imports and exports

Figure 71. Export market structure of synthetic rubber 2015

Figure 72. Import market structure of synthetic rubber 2015

 
3. Price-affected factors 65 – 66

Figure 73. Fluctuations of crude oil and monomer prices

Figure 74. Fluctuations of petroleum and monomer prices

 
IV. Industrial Risk 67 – 69
V. Prospect and forecast 70 – 83
1. The world market’s prospect 70 – 73

Figure 75. Global growth of demand for PP and PE 2014 – 2019

Table 3. Production projects of synthetic rubber ongoing and will deploy in Asia 2012 – 2016

 
2. Vietnam market’s prospect 74 – 77

Table 4. Some petrochemical refinery projects are and will be deployed in Vietnam 2010 – 2020

Figure 76. Plastic consumption per capita

Figure 77. Export turnover of plastic industry

Table 5. Demand forecast for tires in Vietnam

 
3. Industry’s development trend 78 – 79
Figure 78. Bioplastic producing ability over the world  
4. Industry development planning 80 – 81
5. SWOT analysis 82 – 83
VII. Business analysis 84 – 97
1. Business Introduction 84 – 90
2. Financial analysis 91 – 97

Figure 79. Net Revenue

Figure 80. Gross profit and gross profit margin

Figure 81. Selling expenses

Figure 82. General & administrative expenses

Figure 83. Asset structure

Figure 84. Capital Structure

Figure 85. Liquidity ratio

 

– TPC Vina Plastic and Chemical Ltd.

– AGC Vietnam Chemical Ltd.

– Polystyrene Vietnam Ltd.

– Sik Vietnam Ltd.

– Toyo Ink Compounds Vietnam Ltd.

– Resinoplast Vietnam Ltd.

– Tin Kim Plastic. JSC

– Dainichi Color Vietnam Ltd.

– Viet Thai PLASTCHEM Ltd.