Shaping sustainable development in the steel structure industry

Population growth and urbanization are increasing the pressure on plans to develop a synchronized infrastructure network. These factors are significantly shaping the future of the steel structure industry, with policies and trends focusing on reducing or eliminating environmental impacts playing a crucial role.

Era of steel structures

Urbanization, driven by rising demand, is expanding infrastructure networks, especially in developing countries such as India and China. According to World Steel, global steel production demand reached 1.763 billion tons in 2023. This figure is projected to rise to 1.793 billion tons in 2024 and 1.815 million tons in 2025. The Asia-Pacific region remains dominant, accounting for an estimated 70-71 per cent of global demand during this time, with around 52 per cent of global steel used in construction and infrastructure.

At the same time, digital tools like Building Information Modeling (BIM) are transforming processes from planning to operation. These tools help optimize risk management, control costs, and ensure projects are delivered on schedule, enhancing competitiveness in the steel structure sector.

Advances in AI are also revolutionizing the industry. AI supports faster and more precise building designs while intelligent robots streamline construction timelines, particularly for modular steel structures. Additionally, AI aids in the efficient transportation of prefabricated steel components from factories to construction sites.

Vietnamese businesses leading sustainable development in steel structures

This context sets the stage for the Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV) and the DaiDung Metallic Construction Trade Corporation (DDC) to sign a comprehensive cooperation agreement for 2024-2029. The partnership includes a green finance agreement to support DDC’s high-tech mechanical factory project in Nghi Son, north-central Thanh Hoa province.

In response to policies promoting cleaner production and emission reductions, DDC is emerging as a leader in greening Vietnam’s steel structure industry and contributing to global sustainability.

DDC is upgrading its factories to meet strict standards, including sustainable space design, materials, energy efficiency, and green spaces, aiming to minimize emissions. The An Ha factory, operated under US Green Building Council (USGBC) standards, serves as a benchmark for implementing comprehensive environmental, social, and governance (ESG) criteria.

“In this context, the banking sector plays a vital role in collaborating with businesses to develop a green economy,” said Mr. Trinh Tien Dung, Chairman and CEO of DDC. “BIDV, with its vision, responsibility, and commitment, has always been at the forefront of providing green financial products for businesses. This includes green finance for our high-tech mechanical factory project in Thanh Hoa province, which will be a key resource for DaiDung to execute renewable energy projects, offshore projects, and oversized steel structure projects.”

DDC is also building new factories in Thanh Hoa and southern Ba Ria-Vung Tau provinces to further align with sustainable development goals. By prioritizing carbon-neutral projects, it has become a preferred partner for green credit flows, connecting with global institutions focused on sustainability initiatives.