- Hoa Phat, Baosteel raise tags for Sep’25 deliveries
- Decline in imports supports domestic product prices
Vietnamese steel giant Formosa Ha Tinh (FHS) has increased its hot-rolled coil (HRC) prices by approximately $10/tonne (t) m-o-m for September 2025 sales. Following this adjustment, FHS’s HRC prices (SAE1006, skin-passed) ranged within $507-517/t CIF Ho Chi Minh City (HCMC), depending on the quantity booked, as compared to $497-507/t CIF HCMC a month ago.
Market updates
1. Competitors raise HRC offers: Hoa Phat Group, the leading industrial manufacturing group in Vietnam, also increased its list prices of HRC (SAE1006, non-skin-passed) by around $16/t m-o-m for September shipments. Following the revision, prices in southern Vietnam were at approximately $518/t or VND 13,152,656/t, excluding VAT, compared to $513/t earlier.
Another major reason behind the price increase by FHS has been the recent increase in HRC tags by the Chinese steel behemoth, Baosteel. The company increased its HRC tags by RMB 200/t ($28/t) m-o-m for September 2025 dispatches. Additionally, prices of hot-dip galvanised were raised by RMB 300/t ($42/t).
2. Vietnam’s steel imports drop in 6MCY’25: Vietnam’s steel imports fell by 17.2% y-o-y in the first six months of CY’25. Aggregate imports during the period stood at around 7.56 million tonnes (mnt) as compared to 9.13 mnt in 6MCY’24. In June 2025, imports stood at 1.16 mnt, dropping by 10% against 1.29 mnt a month ago. Moreover, the same dropped by 9% from 1.28 mnt a year ago.
However, China’s steel exports to Vietnam were up by 8% to 757,057 t in June as compared to 702,586 t in May.
3. Chinese SHFE futures increase w-o-w: Chinese HRC futures on the Shanghai Futures Exchange (SHFE) surged by RMB 81/t ($11/t) w-o-w to RMB 3,474/t ($483/t) as compared to RMB 3,393/t ($472/t) a week ago. Moreover, on d-o-d basis, futures rose by RMB 38/t ($5/t) against RMB 3,436/t ($478/t).
Outlook
Vietnam’s steel demand has lagged a little amid a slowdown in end-user activity due to the rainy season (June-August). However, steel demand is expected to be supported by robust infrastructure and real estate investments in the country. Moreover, market participants expect that government stimulus and public investment may provide grounds for prices to stay buoyed in the near term.
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