However, with the looming threat of a 20% tariff on imports from Vietnam starting Aug. 1, US importers are bracing for increased costs.
"Some shipments are on the water, and they will arrive beyond Aug. 1. It is what it is; it is unfortunate. There is nothing we can do, and we may have to pass on prices to customers this year," the source said.
He added that he expects a price increase announcement from competitors during August and September, aligning with traditional market cycles.
The CEO of Ozinga International, Marty Ozinga, had previously indicated in April that the company had no plans to raise prices this year. However, with Vietnam now facing significant tariffs, the situation may change.
The company's ability to manage inventory has been crucial in navigating these challenges, with the senior company source saying: "We were able to do this as we had the infrastructure to store cement."
Trader sources from Vietnam added that they had received inquiries from their buyers but had to ensure shipments were evenly spread out to manage supply.
"Our shipments are spread out to December; our [buyers] tried a bit [to advance their shipments] but we had to make it fairly evenly distributed across the year," one source said.
Some Turkish producers said they are also experiencing heightened demand from US buyers.
"All of our buyers in the US are asking for more cargoes than we spoke about at the beginning of the year," a producer from Turkey told Platts. "Looks like we will load 16 cargoes [to the US]; while we were expecting 11 cargoes. [This is surprising] considering the lower market [demand] reported [from the US]."
However, the source added that this was not directly related to tariffs but rather an adjustment to market dynamics.
"In our case, [the extra demand] was mainly because of our customers' new investments; our customers will also keep buying in Q4," the source said.
Platts, part of S&P Global Energy, assessed CEMDEX Turkey at $54.50/mt FOB July 10.
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