An Phuc Manufacturing and Commercial is a small construction materials producer in Hanoi, Vietnam, that supplies ready-mix concrete to construction contractors. Established three years ago, the company has boosted production levels and revenues with two SDLG LG952H wheel loaders taking charge of its vital material handling operations.
Although best known for its natural scenery and rich cultural heritage, Vietnam is also a leading global producer of construction materials. It is currently the world’s seventh largest cement producer, with most of this consumed domestically.
Thanks to increasing foreign investment in the country’s real estate sector, and strong government support for infrastructure development, demand for ready-mix concrete is on the rise. An Phuc is one of the local companies benefiting from this increase in construction activity and the three-year-old company has already reached annual revenues of US$280 million.
“For a small business like ours, low overheads and minimal downtime are essential to ensure a profitable and sustainable business,” says An Phuc cement plant owner Nguyen Van Luc.
To illustrate how fast the Vietnamese market can change, Nguyen Van Luc explains that more than half of the company’s 500,000 cubic metre production for this year will be allocated to a single customer – a real-estate developer that requires 300,000 cubic metres per year. To add to the challenge the customer needed the full amount delivered over a three month period.
Its market demands such as these that have forced An Phuc to re-evaluate its production operations and, in particular, its material handling capabilities.
After assessing the price and productivity of several options, the company opted to invest in two new SDLG LG952H wheel loaders to support its growing business.
From its Hanoi base An Phuc produces ready-mix concrete from quarry aggregates at its on-site plant. Here, 1000 tonnes of gravel and sand are transported every day from the nearby River Hong to the plant. Once the aggregates are dumped at the plant, the two SDLG LG952Hs load and transport the aggregates from the dumping site to the mixing plant.
The 5 tonne-rated LG952H features a 150kW Weichai engine and delivers optimum breakout force, ensuring a full bucket every cycle for better productivity and efficiency. The machine’s long wheel base and high tipping load mean it remains stable even on rough terrain, while the machine’s components are designed to endure the heavy-duty wear and tear of the job site.
An Phuc site operations manager Pham Van Quyen said, “Since we purchased the SDLG wheel loaders, our productivity has increased by 40% compared with our previous solution. The machines are now an indispensable component in our efficient management system, helping us hit our targets on time and on budget.”
On average the machines work 40 hours per week, transporting 1680 cubic metres of aggregates per day.
An Phuc purchased the machines from Cong TY TNHH Hoang Giai, an authorized SDLG dealer, headquartered in Hanoi. Being just 15km from the An Phuc site means Hoang Giai can deliver parts and technical support within the hour. And the machines come with a 2000 hour warranty.
“It puts my mind at rest to know that Hoang Giai can deliver support so quickly – it means that if something does go wrong there will be minimal downtime. On-time delivery for parts and service is essential for our business’s survival. With a strong partner like Hoang Giai, we are certain we can achieve even more growth in the coming years,” said Nguyen Van Luc.
Since partnering with Hoang Giai, SDLG has grown significantly in Vietnam, with numerous cement and ready-mix concrete plants purchasing machines.