Steel price strengthens

The price of construction steel in July saw increases four times in total by 1.3-1.5 million dong per tonne and it is estimated to continue to surge slightly this month because the price of input material is increasing.

After many adjustments, currently the selling price of rolled steel in Vietnam Steel Corp (VNSteel) in south is 14.26-14.32 million dong per tonne, the price of steel bar remains unchanged at 14.54 million dong per tonne.

However, at some shops in Ly Thuong Kiet (districts 10, 11 in HCM City), the retail price of rolled steel is only 13.6-13.9 million dong per tonne. A steel seller in this area said that the steel price increased continuously in July, making the purchase power decrease.

A representative of a steel firm in south said that the increase in steel price is indispensable because in June, companies continuously decreased the price to stimulate demands so they have to face losses. Thus, when the purchase power shows signs of improvement, all enterprises have to increase the steel price to compensate for losses.

According to the statistic from Vietnam Steel Association (VSA), in July, steel manufacturers sold 460,000 tonnes of steel while the figure was 355,000 tonnes in June.

Currently, the price of steel billet is at $540-560 per tonne, higher than $500-510 per tonne in late June. The price of waste steel also increased to $380-400 per tonne (against $340-350 per tonne in the end of June).

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