While Vietnam’s domestic hot-rolled coil (HRC) producers like Hoa Phat and Formosa are selling out fast, imported HRC continues to struggle due to uncompetitive pricing—especially as Chinese offers surge following a bullish run on the Shanghai Futures Exchange.
According to Kallanish, Chinese HRC export prices have jumped significantly in recent days. Offers for Q235-grade HRC (2m width, 3–12mm thickness) are now quoted at $493–495/ton CFR Vietnam, up $20 compared to last week.
Other regional suppliers are also raising prices, pushing imported HRC further out of reach for Vietnamese buyers:
Japan’s SAE 1006 HRC (2mm) is offered at $510–515/ton CFR, though some room for negotiation remains.
Indonesia’s 3mm basic HRC, initially offered at $518/ton CFR, is now facing buying interest around $505/ton CFR, reflecting weak demand and oversupply concerns.
A Hanoi-based trader summed it up:
“There’s little to no opportunity right now for imported HRC.”
In contrast, Vietnamese producers are seeing strong demand. Both Hoa Phat Dung Quat and Formosa Ha Tinh have sold out their allocated HRC volumes for August deliveries, underscoring the growing price advantage of local supply.
Formosa’s official offer was $497–507/ton CFR South Vietnam, fully booked by mid-July.
Hoa Phat’s pricing stood at around $500/ton CFR South Vietnam, and their allocation was sold out early in the month.
Market participants expect Hoa Phat to raise prices by $10–15/ton in its next round of domestic allocation.
“Prices will certainly go up,” commented one Vietnamese trader. “Hoa Phat holds a strong position right now.”
The local HRC rally is supported by both upward momentum in Chinese futures markets and a shift in trader sentiment. With rising Chinese prices, imported steel has lost its pricing advantage in Vietnam, while domestic mills benefit from stronger brand trust and delivery reliability.
Moreover, both Hoa Phat and Formosa have been actively pushing for anti-dumping measures on Chinese HRC, aiming to defend market share and margins amid heightened global competition.
Importers face a tough environment: volatile exchange rates, fluctuating freight rates, and a narrowing price gap between imports and local supply have made overseas offers less attractive.
In addition to competitive pricing, domestic steel offers faster delivery times, easier logistics, and better technical support, especially critical for construction and manufacturing sectors.
Tiếng Việt
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