Siam Cement Group (SCG), one of Thailand’s leading industrial companies, has earmarked Vietnam as its top priority market in the coming years.
“I think, at this point, Vietnam. Maybe secondly would be Indonesia,” SCG CEO Roongrote Rangsiyopash said in an interview with the Asia Nikkei Review when asked about the group’s priority markets.
Once a petrochemicals plant comes online in southern Vietnam, the company anticipates revenue from Southeast Asia excluding Thailand would rise to 35 percent of the total from the current 26 percent, he said.
“We have several projects ongoing, some big ones like a chemicals complex in north Vietnam. That one, fortunately, has had no impact from the pandemic,” added Roongrote.
SCG is the largest cement group of Thailand. In 2011, the US’s Forbes Magazine listed SCG as Thailand’s second biggest company and at the world’s 620th position.
At a reception for Roongrote in December 2020, the then Prime Minister Nguyen Xuan Phuc said that projects such as SCG’s Long Son Petrochemicals – LSP in the southern province of Ba Ria-Vung Tau are significant to Vietnam’s socio-economic development, and appreciated the group’s effective operation in Vietnam.
He suggested the Thai group pour more investments in intensive processing, especially post-petrochemical products, and pay more attention to the Vietnamese consumption market in the context of Vietnam joining three new-generation free trade agreements, namely the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), the EU-Vietnam Free Trade Agreement (EVFTA) and the Regional Comprehensive Economic Partnership (RCEP).
The Vietnamese government will create the best possible conditions for foreign investors to operate effectively and successfully in the country, especially big groups like SCG, he promised.