Viet Nam’s total steel exports in the first two months of the year rose 38.6 per cent from the same period last year to reach more than 728,000 tonnes, according to the Viet Nam Steel Association (VSA).— Photo ndh.vn
Viet Nam’s total steel exports in the first two months of the year rose 38.6 per cent from the same period last year to reach more than 728,000 tonnes, according to the Viet Nam Steel Association (VSA).
Other statistics from the General Department of Customs showed that Viet Nam’s steel exports to the US in particular had surged. The country shipped 124,600 tonnes of steel worth US$104.2 million to the US in the two-month period, double that of same period last year.
The US has been the second largest importer for Viet Nam’s steel after the ASEAN market. Viet Nam also took the 12th position among the 20 largest steel exporters to the US.
US President Donald Trump signed proclamations to impose a 25-per-cent tariff on imported steel and a 10-per-cent tariff on imported aluminum on March 8. With the decision, Viet Nam’s would be one of the 12 most affected countries. Local steel producers have faced competition from others in the ASEAN market as well as higher tariffs.
Last year, Viet Nam exported 567,000 tonnes of steel to the US, a reduction of 43 per cent from the 2016 and accounting for 12 per cent of the total steel exports.
Experts said coated steel producers would be most affected as the US accounted for 35 to 40 per cent of Viet Nam’s total exports of the product.
Construction steel
The prices of domestic construction steel have been continuously increasing due to an increase in imported material prices and affects from China, the world’s biggest steel producer, according to the Kinh te Do thi (Economic & Urban Affairs) newspaper.
A steel shop in De La Thanh Street told the newspaper that the steel price rose VND100,000 per tonne in January and VND500,000 per tonne in February.
The current selling price of construction steel is at VND15.3 million per tonne. This has been the highest level in the past few years.
Steel shops said the number of orders has been on the rise amid the steel shortage. Some people bought a large amount of construction steel, contributing to the price rise.
They added that the price would continue to rise in the upcoming time.
VSA’s vice chairman Nguyen Van Sua said the price increase in the first two months of the year was due to a price rise of steel billet of 3 per cent and ore of 7-8 per cent.
Sua added that the rise was not due to the US decision.
He said the price of input material for steel production would increase, making the construction steel price rise by VND300,000-500,000 per tonne by the end of May.
“Constructors and investors should calculate demand to ensure steel supply, thus reducing construction fees,” he noted. — VNS