Opportunities in Asia: A leading market for the ceramics industry

According to a newly published report by Grand View Research, the global ceramics market size is expected to reach USD 348.0 billion by 2028. From 2021-2028, its CAGR will reach a growth rate of 4.4% to register the fastest ever growth rate in Asia Pacific. This rapid urbanization and rising standard of living will boost the expansion of residential and commercial construction such as shopping malls and retail chains. Thus, the steady growth of the construction sector in the region is projected to drive the demand for ceramics over the coming years. As the reputed global leading markets, let us take a closer look at the ceramics sector in Thailand and Vietnam respectively.

In Thailand, ceramics is considered as one of its oldest industries to begin expanding locally. Due to the increase in demand for residential units, rising consumer expenditure and the burgeoning urbanization within the country, this industry is projected to reach unprecedented growth rates than the years before. The boom in the construction sector is linked to the ceramics industry. Additionally, factors such as developmental projects can also fuel the demand for ceramics, making Thailand a lucrative pool for homeowners and contractors responsible for building office, shopping and condominium complexes. This growth may also be of interest to architects and interior designers who are known to influence customer choices for ceramic tile products in the country, making them a significant stakeholder in this industry.

Ceramic tiles are also very popular in Vietnam and have been used as a local tradition for many years, along with granite and porcelain tiles. With the advancements in digital printing technology today, ceramic tiles are able to portray a wider range of design aesthetics. This increase in construction spending is a key factor that drives the ceramic tiles market in Vietnam. Ceramic tiles are widely used in residential and commercial buildings, owing to their durability and crack resistance nature. Protective coatings on ceramic tiles can also offer high water resistance and stain protection, making ceramics a popular choice in major construction and developmental businesses.

According to the Industry and Trade Information Center under the Ministry of Industry and Trade, Vietnam was the ninth largest exporter of ceramics globally from 2016 to 2020, experiencing an average growth rate of 8.2% per year. The exports of ceramics of Vietnam accounted for 0.9% of the global export value in 2020. Notably, Vietnam’s exports of ceramics still rose 9.9% year-on-year to US$375.5 million despite the Covid-19 pandemic.