Steel products from Asean countries flood Vietnam

At present, the price of imported construction steel, after being deducted all the costs, was still lower than the Vietnam-made products by 100,000-150,000 dong, equivalent to 15.2-12.25 million dong per tonne.

The construction steel continued being imported in Vietnam by importing enterprises to compete with the domestic ones.

Nguyen Tien Nghi, vice chair of Vietnam Steel Association (VSA) revealed that from the beginning of 2010 up to the first half of April, about 120,000 tonnes of construction steel, mainly scrolled steel have been imported from Asean member countries.
Meanwhile, according to statistics provided by ministry of industry and trade, the country’s steel production volume increased sharply thanks to the demands from domestic construction projects. The steel production output in April was estimated at 445,900 tonnes, increasing by 2.9 percent against the previous month. The accumulative steel volume in the first four months of the year reached 1.65 million tonnes, up 5.1 percent year-on-year.

In April, the steel price rose sharply than expected because the world price of steel ore increased by over 50 percent, the fat coal price up 80 percent and the world steel billet price jumped by $10-20 per tonne in comparison with the previous month. At present, the retail steel price was posted at 16-17 million dong per tonne, up 4-5 million dong against the end of last year.

Therefore, ministry of industry and trade required the steel firms to check the production process, increase using domestic raw materials and maintain the reasonable stockpiled volume to increase the sales price gradually.

CafeF

Tags: Vietnam steel industry, Vietnam steel prices, Vietnam steel producers