Steel consumption slows down, price drops in June

Domestic steel consumption for this June has fallen by 30 per cent to 270,000 tonnes against last month, said the Vietnam Steel Association (VSA).

The VSA said steel consumption for the first quarter of 2011 has risen by 40 to 50 per cent compared to the same period of 2010 despite low demand in the construction industry.
However, from the end of May until now, the amount of steel sold as well as its prices has been decreasing steadily.
Currently, one ton of domestically-produced steel (VAT excluded) is priced at about $780 to $810.
The price decrease in construction steel is due to a decrease in the price of steel ingots in the world market as well as competition from steel imported from China and other ASEAN countries.
Moreover, a cut in public investment as per to the recent government policy also serves to reduce the steel demand for construction. – Tuoitre

Tags: Vietnam steel industry, Vietnam steel market, Vietnam steel prices

Posted by VBN on Jun 30 2011. Filed under Steel. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry