VIETNAM PLASTIC PACKAGING INDUSTRY

The development of plastic industry
Vietnam’s plastic industry is one of the industries with a relatively high growth rate compared to the economy in general when reaching an average growth rate of 11.6% p.a. in the period of 2012 – 2017. This is faster than the global plastic industry’s 3.9% growth rate and faster than the average GDP growth of about 6.2% of Vietnam in the same period.

The rapid growth of the plastics industry is driven by high demand from related industries such as consumer goods, the warming of real estate and construction markets, telecommunications markets and other markets, especially the trend of using plastic materials instead of traditional materials.
On the basis of a developing economy, sustaining a high GDP growth rate, rapid industrialization and urbanization, developments in areas such as construction, real estate, manufacturing and assembly, and innovative applications in various industries have led to an increase in domestic plastic consumption. Besides that, the increasing people’s incomes lead to an increase in demand in the end-consumer market, plastic products that are expected to continue to replace other materials in many applications have also created opportunities in plastic market and become one of the fastest growing industries.

In particular, the plastic industry has great potential at market scale because Vietnam’s plastic industry is only at the beginning of development compared to the world and plastic products are promoted to use in all areas of life, that is including plastic packaging products, plastic building materials, household plastic products and high-tech plastic products. In 2017, the average plastic consumption rate per capita was 63 kg/person/year. This ratio of Vietnam in 1990 was only 3.8 kg/person/year, so in the period from 1990 to 2017, the average plastic consumption per capita of Vietnam grew at an average of 10.6% a year.