In December, hot rolled coil exports decreased by 34% compared to November and reached 229 thousand tons, but increased by 19% on an annual basis.
While Vietnam's HRC exports in 2023 were considered stagnant due to low domestic steel demand and limited signs of recovery in the real estate sector, it represented a rare bright spot in the industry. Hot rolled coil production reached 6.8 million tons, an increase of 10% compared to 2022, accounting for approximately 26% of the overall steel consumption in 2023.
Hot rolled coil exports made a significant contribution to the overall success of the industry, accounting for more than 50% of the total sales volume. The figure of 3.4 million tonnes represents an impressive 2.6-fold increase compared to the same period in the previous year.
Formosa Ha Tinh and Hoa Phat maintain their leading and second positions in hot-rolled coil production and export, helping Vietnam's steel industry cope with challenging conditions.
Formosa's 2023 hot rolled export volume increased by 46% compared to the previous year, reaching 2.2 million tons. During the same period, Hoa Phat was the only producer other than HRC to record positive sales growth, with a total volume of 2.8 million tons. Hoa Phat, which recorded a 6% increase compared to 2022, including hot coil exports, is the product with the strongest growth among steel products.
Due to strong consumption, especially in the mechanical and processing industries, some experts believe that the hot rolled coil (HRC) market will recover faster compared to construction steel. Hot rolled coil, in addition to offering attractive prices, creates a significant price disparity due to difficulties in the construction industry and the impact of the real estate market; The mechanical and manufacturing sectors show a more positive recovery.
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