In the first seven months of this year, finished steel production in Vietnam reached nearly 17 million tonnes, up 9.4% compared to the same period last year. Coated and color-coated steel led the growth with a 29.2% increase, followed by construction steel at 14.6%, and hot-rolled coil (HRC) at 2.9%. Finished steel consumption also rose by 14.3%, totaling 16.75 million tonnes.
Steel exports amounted to nearly 4.9 million tonnes, a 6.8% increase y-o-y. Cold-rolled coils (CRC) recorded the highest growth at 40.6%, followed by coated and color-coated steel, and construction steel. However, exports of steel pipes and HRC experienced declines of 1.2% and 0.8%, respectively.
Vietnam's finished steel production is projected to reach 30 million tonnes this year, reflecting a 7% increase y-o-y, according to the Ministry of Industry and Trade (MoIT). However, this expected recovery faces significant uncertainty due to challenges such as domestic market oversupply, rising imports, and global market instability.
Currently, the influx of imported steel continues to intensify price competition for local producers. Moreover, rising international transportation costs and fluctuations in the global market are further compounding the challenges facing the steel industry.
Despite these headwinds, industry experts see some positive indicators in the market, including year-end rebounds driven by increased construction activity. The MoIT's recent move to investigate and possibly impose anti-dumping on certain imported steel products could also help create a fair environment in the sector in the future.
The Vietnam Steel Association (VSA) stressed that continued growth in the industrial production sector, combined with the recent enactment of new real estate and land laws, could lead to a positive recovery in the steel market later in the year.
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