AsemconnectVietnam - In the first quarter of 2024, Vietnam's steel exports were valued at nearly US$2.4 billion and more than 3.23 million tons, up by 42% year on year and by 40.1% in value compared to the same period in 2023.

In terms of exporting countries, Italy, the US, and Cambodia remained the top three import markets for Vietnamese steel, with exports totaling US$299 million, US$399.6 million, and US$182.8 million in the first quarter, respectively. According to the Vietnam Steel Association (VSA), Vietnam's steel consumption in 2024 is expected to grow by 6.4% to nearly 21.6 million tons. Of this, finished and semi-finished steel exports are expected to reach 13 million tons, up by 12% year on year.
Steel product imports hike in the first two months
According to data from Vietnam’s customs, in the first two months of 2024, Vietnam imported steel products with about 2.6 million tonnes, soaring by almost two times compared to the same period a year ago. Among them, the imports from China reached about 1.8 million tonnes, skyrocketing by around three times year on year. Vietnam’s steel enterprises indicated high imports, especially from China, threatened local producers.
According to statistics from the Vietnam Steel Association (VSA), in 2023, the steel production and consumption of its members were 28 million tonnes and 26.3 million tonnes, respectively. Therefore, local production capacity can meet domestic demand.
Hoa Phat plans to expand its business on high-speed rail track development
Vietnam's largest steel manufacturer, Hoa Phat Group  revealed plans to potentially manufacture tracks for high-speed railways capable of reaching speeds of 850 kilometers per hour.
Professor Dr. Bui Xuan Phong, former chairman of the Vietnam Economics and Railway Transport Association, voiced support for such initiatives but highlighted the current absence of concrete progress in the North-South express railway project. Phong also indicated that the endeavor could pose significant challenges due to the technical complexities associated with high-speed railways. Acknowledging the difficulty of the task, Hoa Phat Group chairman Tran Dinh Long affirmed the company's determination to pursue the venture, emphasizing its alignment with the group's core business. In March, Vietnamese Hoa Phat’s crude steel production was about 741,000 tons, increasing by 7% month-on-month. Sales output of hot rolled coil (HRC) steel products, construction steel, high-quality steel, and steel billets were 693,000 tons, a month-on-month increase of 34%.In the first three months, the company’s output of crude steel was 2.1 million tons, hiking by 70% compared to the same period a year ago. Sales of construction steel, steel billet, and HRC amounted to 1.85 million tons, a year-on-year increase of 34%. Meanwhile, Hoa Phat’s steel pipe supply to the market amounted to 131,000 tons, falling by 18% from the same corresponding period a year ago.
Steel prices in April 2024 decreased
Steel prices in April 2024 decreased due to weak steel demand and reduced raw material prices, but manufacturers also faced many challenges such as financial (including loan interest and USD/VND exchange rate increased quite high). Many factories have had to adjust and reduce selling prices to compete and maintain market share. In particular, the price of rolled steel continues to be adjusted by manufacturers to decrease by 100,000 VND/tonne to match the price movements of input materials.
Construction steel prices in 3 regions: According to Kinhtedothi, as of April 20, 2024, in the North, the price of CB240 Hoa Phat steel coil reached 14,040 VND/kg, down 100 VND/kg compared to the previous month; CB240 Vietnam steel coil price reached 14,040 VND/kg, down 100 VND/kg compared to the previous month. In the Central region, the price of CB240 Hoa Phat steel coil reached 14,040 VND/kg, down 100 VND/kg compared to the previous month; Viet Duc CB240 steel coil price reached 14,440 VND/kg, down 100 VND/kg compared to the previous month. In the South, the price of CB240 Hoa Phat steel coil reached 14,040 VND/kg, down 100 VND/kg compared to the previous month; CB240 Pomina steel coil price reached 14,590 VND/kg, unchanged compared to the previous month.
T.Huong
Source: Vitic