China's steel demand affected by the COVID-19 outbreak

It seems likely that the Asian scrap market will be affected by COVID-19 cases, which will increase further in the coming year in major markets such as Vietnam and South Korea due to the possible impact on the supply side.

Vietnam's outlook on the scrap market depends on the Chinese steel industry. Prices and the general market may be affected by confirmed cases of COVID-19. In addition, the continued weakening of demand from overseas markets will also put pressure on the Vietnamese scrap market.

According to market participants, the Vietnamese scrap market will remain under pressure until the end of the Chinese New Year. If the epidemic can be well controlled after the Lunar New Year, demand for the steel used in the government's infrastructure project will resume accordingly.