Turkey's cement producers face stiff competition from Vietnam in US imports

Turkey's cement producers may lose their dominance in the US import market as buyers increasingly source product from Vietnam due to lower prices, despite higher tariffs, multiple market participants told Platts, part of S&P Global Energy.

Turkish cement producer sources confirmed reduced orders for 2026 due to competitive prices from Vietnam.

"Buyers have reduced their quantities from us. A part of this is due to prices and also because some volumes have been transferred to Vietnam. However, on the positive side, buyers are not excluding us completely as Turkey suppliers are still reliable and we are a sustainable source for the US for years," a large producer in Turkey said.

While negotiations are continuing to secure volumes for 2026, some preliminary contracts from Vietnam have been agreed at $39/mt FOB and from Turkey at $54/mt FOB, multiple sources said.

"Even with higher tariffs at 20%, Vietnam FOB prices offer a much better deal into the US and with all the uncertainty around demand every dollar saving helps," a buyer source said.

Another buyer source confirmed a shift in strategy. "Our usual split between Vietnam and Turkey used to be 50-50, but this year we will be sourcing 70% of our cement from Vietnam and only 30% from Turkey," a large buyer said.

Platts assessed FOB Vietnam Cement at $35.50/mt while Platts CEMDEX was assessed at $53.50/mt on Nov. 20.

There had been some warning signs, according to trader sources.

"I had warned my suppliers in Turkey that all US buyers will divide their contracts into two parts, Vietnam and Turkey, and if they increase [the] price unreasonably, Turkey will lose market share, especially as the freight market in the Med is stronger than in Asia."

Turkey producers, however, haven't lost hope and are banking on stronger demand from Syria and potentially from Israel. "Syria and [the] potential lifting of [the] export ban to Israel are keeping us positive," the Turkey producer source said.