Hanoi (VNA)🦋 – Vietnam's finished steel production is projected to hit 30 million tonnes this year, marking a 7% annual increase, according to the Ministry of Industry and Trade (MoIT).

However, this anticipated recovery is fraught with uncertainty, as the domestic market grapples with oversupply, surging imports, and global market instability. The domestic steel market is currently inundated with various steel products, while imported steel continues to flood in, intensifying price competition for local producers. Soaring international shipping costs and global market volatility further exacerbate the challenges faced by steel industry enterprises. Despite these headwinds, industry expert Nguyen Van Sua sees positive market signals, such as the typical year-end recovery driven by the construction season. Moreover, the MoIT's recent decision to investigate and potentially impose anti-dumping measures on certain imported steel products could foster fairer competition in the coming years. To truly become a foundational industry and achieve sustained growth, the steel sector needs State support in trade defence measures, Sua stressed. He also urged companies to focus on improving product quality, enhancing competitiveness, and strengthening their ability to defend against dumping investigations from importing countries. In the past seven months, finished steel production reached nearly 17 million tonnes, up 9.4% year on year. Coated and colour-coated steel led the growth with a 29.2% surge, followed by construction steel (14.6%) and hot-rolled coil (HRC) (2.9%). Finished steel consumption also climbed by 14.3%, reaching 16.75 million tonnes. Steel exports totalled nearly 4.9 million tonnes, marking a 6.8% increase. Cold-rolled coils (CRC) saw the highest growth at 40.6%, followed by coated and colour-coated steel, and construction steel. However, exports of steel pipes and HRC declined by 1.2% and 0.8%, respectively. The Vietnam Steel Association (VSA) noted that the continued growth in the industrial production sector and the recent enactment of new real estate and land laws could spur a positive recovery in the steel market during the latter part of the year./.