Russia will be the strategic import markets of Vietnamese steel industry

The report shows that steel imports from Russia in the past year has increased by 14.96% compared to 2015, reaching 514.5 thousand tons. Besides, according to Vietnam's commitments in the Agreement on Free Trade of Vietnam (EAEU), tariff reduction schedule for the steel segment as follows:

As soon as the agreement takes effect immediately abolish import duties for raw material, hot-rolled steel, welded steel pipes - items not produced much in the water. Meanwhile, products such as billets, square billets, steel construction will have a roadmap tax cuts for 10 years; cold rolled steel products, galvanized 7 years.

Reportedly, in 2016, the total amount of imported steel in Vietnam reached 18.37 million tons, up 18.4% compared with 2015. Imports of steel billet at 1.08 million tons, down 41.5%. Steel scrap imports reached 3.72 million tons, up 18.8%. According to the Ministry of Industry and Trade, Vietnam's steel imports rose sharply, mainly concentrated in the first half of 2016, especially from the Chinese market. Meanwhile, the price of imported steel at 436.5 USD / ton, down 9.4% compared with 2015. The next time expected steel prices will increase import prices increased world in recent times.

While exports reached 3.48 tons of steel last year, worth $ 2.03 billion. On average, both in 2016, steel export price of Vietnam averaged 580 USD / ton, down 12% compared to 2015.

According to the report, the outlook for steel exports of Vietnam in 2017 is optimistic, forecasting exports of Chinese steel in 2017 may decrease due to domestic demand is growing for service projects building roads, bridges, hydropower and transport. However, steel exports are still facing many difficulties due to stiff competition from cheap steel products a number of countries, especially from China. Domestic steel industry must continue to face many cases of anti-dumping, anti-subsidy from importing countries and currently being imposed anti-dumping from countries like USA, Canada, Turkey Malaysia, Thailand, Indonesia.

(Build 4.4.2017)