Vietnam is recording a significant increase in imports of hot rolled coil (HRC) steel, despite the anti-dumping investigation launched against steel products imported from China and India. In September, the country imported 1.2 million metric tons of HRC steel, a 34% increase from the previous month and 2.2 times domestic HRC steel production. In the January-September period, Vietnam imported almost 8.8 million metric tons of HRC steel, up 26% year-on-year. Of these imports, 72% came from China, with Chinese steel selling for $30-70/metric ton below prices from other markets.
Economists say that cheap Chinese steel has put pressure on Vietnamese producers, with many cutting production. Dr Hoang Ngoc Thuan said this could make local production completely dependent on imports. In addition, economist Ngo Tri Long said that steel production is an important economic sector and that Vietnam's steel industry could suffer if measures are not taken to protect the local market.
The Ministry of Industry and Trade launched an anti-dumping investigation into steel imports from China and India on 26 July. However, while this process is expected to last for a year, steel imports continue. It is underlined that anti-dumping investigations should be accelerated and import inspections should be increased in order to protect the local steel industry. Otherwise, low-cost steel imports will continue to weaken Vietnam's steel industry, which will negatively affect employment in the sector.
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