The export contracts of concrete piles of Vietnamese companies, untold stories

The export contracts of concrete piles of Vietnamese companies, untold stories

From the beginning of 2021, AMACCAO Concrete Pile Factory (AMACCAO PILE) reached nearly 10 million USD in export value, which led Taiwan to solve the concrete problem lasting more than 50 years. This opened a new direction for the production of precast concrete components in Vietnam,  and at the same time affirmed AMACCAO Group’s number-one position in the market.

Seeking a solution to the material issue of the construction industry in developed economies

Concrete is an indispensable material in Taiwan

As early as the 1960s, the majority of new construction in Taiwan’s urban areas was made of reinforced concrete, not including the hundreds of thousands of centrifugal concrete piers which break waves along the coast and the concrete embankments to prevent erosion along the river banks.

Jerry Chiu, General Secretary of the Taiwan Concrete Institute, admitted that without this material structure, it would be difficult for Taiwanese society to maintain a strong development rate in the past few decades. “Reinforced concrete allows us to build safe, comfortable, durable structures at a reasonable cost,” he said.

When a peninsula is known to be poor natural resource conditions, and a humid climate with most of the population living near the sea like Taiwan, concrete becomes an ideal construction material to meet the needs of building houses. Especially, high-rise buildings are better than wood or steel frame houses.

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However, with a territory with a narrowed area of just over 36,000 square kilometers like Taiwan, the production of cement, an important raw material used in the concrete industry, brings the most negative consequences all over the world. Taiwan has been between difficult choices as one is the pressure to develop infrastructure, and the other is the requirement to reduce carbon emissions according to international commitments.

In fact, this is a problem not only for Taiwan but also a common denominator with many other countries, especially countries in Asia. Under the pressure of limited land funds, rapid population growth, shortage of raw materials for production, and strict emission standards, the demand for this material has become essential for the development of infrastructure, the real estate industry, and the prosperity of this group of countries, such as Korea, Philippines, India, and Bangladesh… That makes this place a gold mine for the concrete export industry in general and concrete piles in particular.

The solution from the Vietnamese company, Amaccao

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Amaccao pile’s first shipment of concrete piles worth more than 2 million USD to Taiwan in January 2021 is an important opening event, proving that Vietnamese businesses can meet the most stringent standards, approaching potential but fastidious markets in the world.

Vietnamese concrete companies have long targeted important Asian markets. But these markets are all countries and territories with the leading industrial production in Asia, so the technical standards that these importers set are very high, making businesses difficult to reach.

In addition, the general trend of all countries is pursuing green building materials policy, reducing the greenhouse gas effect, in which the concrete production process often has to meet the requirements of using the least energy. While maximizing recyclable materials, the material has the potential to offset emissions. This not only hinders domestic manufacturers but also creates barriers for foreign enterprises that desire to export concrete.

However, this difficult situation was broken by a company specializing in manufacturing concrete structures for a Vietnamese corporation in January 2021. The export of concrete piles worth more than 2 million USD from AMACCAO PILE, a member of AMACCAO GROUP, to Taiwan has become an important “opening” event, proving that Vietnamese businesses can meet the strictest standards to export this material to other potential but fastidious markets in the world.

According to Mr. Pham Van Nghi – Vice Chairman of AMACCAO Group, foreign partners have believed in AMACCAO as a partner to supply concrete piles once again. That affirms the first-place company in the manufacturing industry, especially the precast concrete structures in Vietnam in terms of quality, price, and competitiveness. The export contracts in the past time have shown determination, which is the first step in the strategy of conquering the world market of AMACCAO Group.

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In fact, it is not until early 2021 that AMACCAO’s precast concrete products can meet export standards, but earlier, this brand has been familiar with many international giants in the domestic market. Piles, culverts, and concrete structures of AMACCAO were soon “exported on the spot” when supplying and installing pre-assembled concrete components for key projects of Hyundai, Samsung, and Lotte… in Vietnam.

particularly, in August 2020, AMACCAO was selected by the Hyundai – Ghella consortium as the sole partner to manufacture and supply prefabricated Segment basement concrete panels for the Metro Hanoi Metro project. Moreover, the manufactured tunnel shell panels must meet extremely strict technical and artistic requirements with extremely high accuracy, the allowable size tolerance is only ± 0.5mm, and ensure a long life span of hundreds of years. The production and acceptance tests of tunnel shell panels are applied according to European and world standards.

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The “on-the-spot export” of AMACCAO not only increases the strength and potential of replacing imported materials of Vietnamese companies in the market but also plays an important role in ensuring a green environment. According to the latest IPCC study published in the architectural journal Dezeen on August 24, about half of the carbon emissions from cement production will be reabsorbed by up to 50% by the concrete itself when this material is used in buildings and infrastructure. With the number of absorbing about 20 million tons of carbon per year, concrete, particularly concrete piles not only becomes the material to meet the needs of fast, durable, and cheap infrastructure development and but also brings important benefits to the living environment.

Besides international customers, AMACCAO is also a supplier and contractor of piles, culverts, and concrete structures for leading economic and real estate groups in Vietnam, contributing to the creation of key projects, such as Van Don International Airport, Phuong Dong Urban Area, VietinBank Tower, Vinhomes Ocean Park, Vin Smart City, etc. which includes projects that must meet strict quality requirements due to a direct impact on safety and social security such as Thai Binh Thermal Power Plant, Hai Duong Thermal Power Plant, Ha Long sea embankment, Quang Binh coastal anti-erosion embankment, Gia Lai wind power, deep water port Nghi Son…

The distinction creates the No. 1 position in the piles, culverts, and concrete structures industry

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Sharing the success secrets in export contracts as methods to hold the top position in the domestic market, Amaccao’s leaders supposed that these results have been accumulated and formed by the following key factors:

1. Modern technology

From the very first moment of establishment, the Amaccao group has spent 20 hectares building workshops of AMACCAO PILE (Pile), AMACCAO PIPE (Culvert), and AMACCAO PC (Components). Moreover, the factories are invested methodically and professionally with modern machinery and equipment, which are synchronously imported from European countries, Korea, etc.

2. Foreign experts team and skilled technical team

The management staff and operating engineers at Amaccao Pile, Amaccao Pipe, and Amaccao PV are all highly qualified and have practical experience. The workforce has nearly 1,000 workers. All of them are well-train, thorough, have high technical skills, and have hands-on experience; moreover, they are attached to the business, passionate, and make constant efforts. Including a group of more than 10 experts from Japan, Korea, Europe, etc, they carry out the guideline of training and transferring technology, and also directly manage production activities and daily quality control work at the factory.

3. International quality management system:

Always attaching importance to and setting quality goals as the top priority, Amaccao has built a quality management system according to international standards ISO 9001: 2015. Before being put into the production line, 100 percent of raw materials are strictly checked by advanced equipment, lab meeting international standards, and performed by a team of experienced engineers and technical workers. The production stages are also been tracked and controlled at every stage such as cleaning formwork, preparing steel cages, concrete work, tensioning drying, dismantling and finishing products, storage, warehousing, transport, etc.

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5. Research and innovation:

Not only applying the techniques which depend on the international technology standard, Amaccao Pile, Amaccao Pipe, and Amaccao PC’s staff also explore, research, and apply the latest technologies and materials to the production line. Accordingly, in addition to using stone materials with the best strength in Vietnam, AMACCAO also uses artificial sand to replace natural sand. Moreover, Amaccao takes advantage of waste material sources from thermal power plants such as blast furnace slag, and fly ash… to produce concrete in order to raise product quality, lower costs, increase competitiveness and reduce environmental pollution. This is also the reason why AMACCAO’s concrete piles meet the requirements of green and environmentally friendly materials set by foreign partners.

6. A- grade quality and service

In addition to the synchronous production line from materials to techniques, Amaccao’s products such as culverts, piles, and concrete components are also strictly controlled to ensure that they meet or exceed aesthetic requirements as well as other standards. “ we are proud to be a unit that always strives for the Gold standards in production and construction. The piles, culverts, and concrete structures of Amaccao are always of Grade A quality, Grade A service” Affirmed Amaccao’s leader.

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7. Export orientation

In recent years, the success of export orders continues to affirm Amaccao’s No.1 position, but the leader of this business considers it just the beginning. Customers from many countries around the world have actively contacted and worked with Amaccao to order products and establish business cooperation relationships. Accordingly, in addition to pile products, Amaccao aims to export precast concrete products that question high technology and quality requirement such as subway tunnel covers, GRC components, sheet piles, etc to many other Asian countries such as Korea, the Philippines, India, Bangladesh, etc.

“Amaccao Group wished to continue to receive other large orders after the recent export orders, aiming to export 50- 60% of the factory’s output to foreign countries every year” Said the Vice Chairman of the Amaccao Group.

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