Vietnam Investigates Anti-Dumping on Imported HRC Steel from China and India
[tintuc]
The Ministry of Industry and Trade stated that the applicant has provided evidence to prove the dumping activities of the goods, identifying the dumping margin of imported Hot Rolled Coil (HRC) steel from India and China at 27.83%.
On July 26, the Ministry decided to investigate the application of trade defense measures against HRC steel imported from China and India.
The investigation period to determine dumping activities and assess damages is from July 1, 2023, to June 30, 2024.
The Ministry said that the evidence supplied by the applicant showed the dumping of imported HRC from India and China with a margin of 27.83%.
Earlier, on March 19, Hoa Phat and Formosa submitted a request to investigate anti-dumping on imported HRC steel from India and China.
In the first six months of the year, the amount of imported HRC into Vietnam increased significantly, reaching about 5 million tons, a 60% increase compared to the same period last year, according to the General Department of Customs. Of this, 74% was imported from China, with the rest from Taiwan, South Korea, India, Japan, and other countries.
Domestic demand for HRC steel has risen sharply recently. The production and consumption of downstream steel products using HRC as raw material, such as coated steel and steel pipes, have strongly recovered, leading to a 60% increase in total domestic HRC demand compared to the same period last year, reaching about 7.4 million tons.
According to the Vietnam Steel Association, sales of coated steel increased by 35% in the first half of this year to 2.7 million tons. Additionally, consumption of cold-rolled steel saw a similar increase, reaching 1.2 million tons. The strong consumption of these products is partly due to the government boosting public investment and addressing policy-related difficulties in the real estate sector.
The increase in demand has come at a time when domestic production capacity from the two companies, Hoa Phat and Formosa, supplying the local market is about 2.1 million tons.
Currently, Hoa Phat and Formosa are the only two companies producing HRC steel with a maximum capacity of about 8 million tons per year, which is lower than the domestic demand of about 12 million tons per year.
The significant increase in HRC steel imports has caused concerns among domestic producers about future market share impacts.
According to Hoa Phat, the domestic market share of the two local HRC producers has dropped sharply from 45% in 2021 to 30% in 2023 due to the impact of imports. The market share of imported products from China and India has increased from 32% to nearly 46% in 2023.
The two domestic HRC producers are worried that the trend of importing HRC might continue, especially in the context of China's overproduction crisis.
The Ministry of Industry and Trade stated that the applicant has provided evidence to prove the dumping activities of the goods, identifying the dumping margin of imported Hot Rolled Coil (HRC) steel from India and China at 27.83%.
On July 26, the Ministry decided to investigate the application of trade defense measures against HRC steel imported from China and India.
The investigation period to determine dumping activities and assess damages is from July 1, 2023, to June 30, 2024.
The Ministry said that the evidence supplied by the applicant showed the dumping of imported HRC from India and China with a margin of 27.83%.
Earlier, on March 19, Hoa Phat and Formosa submitted a request to investigate anti-dumping on imported HRC steel from India and China.
In the first six months of the year, the amount of imported HRC into Vietnam increased significantly, reaching about 5 million tons, a 60% increase compared to the same period last year, according to the General Department of Customs. Of this, 74% was imported from China, with the rest from Taiwan, South Korea, India, Japan, and other countries.
Domestic demand for HRC steel has risen sharply recently. The production and consumption of downstream steel products using HRC as raw material, such as coated steel and steel pipes, have strongly recovered, leading to a 60% increase in total domestic HRC demand compared to the same period last year, reaching about 7.4 million tons.
According to the Vietnam Steel Association, sales of coated steel increased by 35% in the first half of this year to 2.7 million tons. Additionally, consumption of cold-rolled steel saw a similar increase, reaching 1.2 million tons. The strong consumption of these products is partly due to the government boosting public investment and addressing policy-related difficulties in the real estate sector.
The increase in demand has come at a time when domestic production capacity from the two companies, Hoa Phat and Formosa, supplying the local market is about 2.1 million tons.
Currently, Hoa Phat and Formosa are the only two companies producing HRC steel with a maximum capacity of about 8 million tons per year, which is lower than the domestic demand of about 12 million tons per year.
The significant increase in HRC steel imports has caused concerns among domestic producers about future market share impacts.
According to Hoa Phat, the domestic market share of the two local HRC producers has dropped sharply from 45% in 2021 to 30% in 2023 due to the impact of imports. The market share of imported products from China and India has increased from 32% to nearly 46% in 2023.
The two domestic HRC producers are worried that the trend of importing HRC might continue, especially in the context of China's overproduction crisis.
