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Domestic News
Steel consumption is still slow
Although consumption of steel market has improved but compared to seasonal factors, the purchasing power of the market is still slow and weak.
According to the Ministry of Industry and Trade, steel out put in the November was estimated at 586.5 thousand tons, an increase of 7.9% compared to November 2011. For 11 months is estimated at 5.55 million tons, up 1.8% over the same period.

Although consumption of steel market has improved but compared to seasonal factors, the purchasing power of the market is still slow and weak. Currently steel inventory reduction is not significant, while steel import from foreign countries continues to increase, especially China strong as steel marking steel industry more difficult.

So the steel industry to find remedies to limit the unfair competition of import steel in the domestic market and enhance trade promotion learning opportunities and investment potential in foreign market export out put look for the steel industry as Cambodia, Turkey. Assessment of the difficult of the steel industry, the Deputy Minister of Industry and Trade Le Duong Quang said that in 2012 the steel industry trouble by the housing market should reduce large inventory of steel especially steel construction. But the steel industry there is an imbalance between supply and demand due to broken steel planning.

To remedy this situation, the Ministry of Industry and Trade of Vietnam Steel Association is reviewing the steel projects, particularly projects in the planning or investment use of obsolete technology equipment.

The public is also concerned that, Iron and Steel Co., Ltd. Hung Nghiep industrial Formosa Ha Tinh recently held constructed of iron and steel plant in the iron and steel complex area and Son Duong port increasingly difficult for the steel industry as steel output in excess water.

But, the Deputy Minister Le Quang Duong said that, as expected, this plant will import 100% foreign materials and mainly for export, if domestic demand for domestic consumption.

"This protect will last and potentially serious side effect, lack of balance for the steel industry is not intimidating".

Source: Hải quan

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