VIETNAM STEEL INDUSTRY

Steel industry is the important heavy in the industrialized world; therefore, the fluctuations in the industry will directly affect the field of industrial production and impact on the economic growth. Steel industry in 2017 recovered strongly after 2 years of continuous decline. Global steel production is estimated at x,xxx million tons, up 5.5% from 2016. Asia is currently the world’s main steelmaker, accounting for 69% of total steel output in 2017. China has grown steadily, surpassing India as the third largest steel producer in the world. 

It is forecast that demand for steel in 2018 will grow 1.6% to reach x, xxx.x million tons. The strongest growth comes from developing regions, especially Asia. In Q1/2018, the steel market still showed positive growth compared to the same period last year, production and consumption of all commodities grew positively. According to VSA, total steel production in the quarter increased by 25.37% to reach more than x.xx million tons. Hot rolled coil HRC reached x.xxx million tons. Output of finished steel reached over x.x million tons, up 29.27% over the same period. In particular, consumption of construction steel reached x.x million tons (up 7.56%), steel pipes reached x.x million tons (up 11.23%), galvanized sheets reached x.xx million tons (18.83%). 

Vietnam steel industry is always in a state of imbalance, excess of crude steel but lack of other steel products due to many product lines in the country are not able to produce, such as steel billets, hot rolled coil sheets, shape steel, steel plate, etc. The domestic machinery and technology are only medium compared to the world, mostly using machinery and technology discharged from China, leading to large energy consumption, low technology and high production cost, resulting to hardly compete with cheap imported steel from China. 

In 2018, it is forecast that iron and steel prices have trend not to increase as demand in some regional markets such as China is likely to decrease, while domestic demand will not increase. It is forecast that steel consumption growth in 2018 will be about 22% to xx.x million tons. In which, construction steel will increase by 10%, hot rolled coil 154%, cold rolled coil steel sheet 5%, steel pipe 15%, gold plating and color coating 12%. Accordingly, the output of construction steel reached about xx.xx million tons, steel pipes reached x.xx million tons and galvanized steel reached about x.xx million tons. 

 

 

Abbreviations
Executive summary
I. Business environment
1. Macroeconomic context
2. Legal framework
3. Trade agreements
II. Global market
1. Definition and classification
2. Production process
3. Production
4. Consumption
III. Local market
1. History of development
2. Industry value chain
3. Production technology
4. Input material
5. Scale
6. Construction steel
7. Steel pipe
8. Sheet plate
9. Import – export
IV. Planning and prediction
1. Planning and development
2. Global market forecast
3. Local market forecast
VI. Enterprise analysis
1. Enterprise introduction
2. Financial analysis

Hoa Phat Joint Stock Company
Hoa Sen Group
Nam Kim Steel Joint Stock Company
Pomina Joint Stock Company
Viet Duc Steel Pipe Joint Stock Company
DANA Iron and Steel Joint Stock Company
Thai Nguyen Iron and Steel Company
Vietnam Steel Corporation
Viet – German Steel Joint Stock Company

List of figures
Figure 1: GDP growth, 2011 – Q1/2018
Figure 2: Vietnam’s urbanization rate, 2004 – 2016 (%)
Figure 3: Top the most-imported goods from China 3/2018
Figure 4: CNY / VND exchange rate, 2016- 3/ 2018
Figure 5: VND / USD exchange rate, 2013 – 3/2018
Figure 6: Average interest rate, 2012- 3/2018
Figure 7: Average electricity price, 7/2007-6/2017
Figure 8: Coal price fluctuations, 2013 – Q1/2018
Figure 9: Coal production and export output, 2008-2017
Figure 10: Official defense tax road, 3/2016-3/2019
Figure 11: Global steel production, 2011 – Q2/2018
Figure 12: Global steel production structure, 2006 – 2018
Figure 13: 10 largest nations’ steel production output Q1/2017 – Q2/2018
Figure 14: Steel production according to use cases, 2015
Figure 15: Steel production structure by different methods, 2016
Figure 16: World steel consumption, 2011-2018
Figure 17: Steel consumption in some regions 2011 – 2018
Figure 18: Regional steel consumption, 2016
Figure 19: Steel consumption growth rate by sector between 2014 – 2016 (%)
Figure 20: Compare BOF and EAF
Figure 21: Vietnam crude steel production structure
Figure 22: Iron ore output, 2011-2017
Figure 23: Iron ore import output and turnover, 2013-9T/2017
Figure 24: Iron ore price fluctuation, 1/2015 – 3/2018
Figure 25: Iron scrap steel imports by volume, 2013 – Q1/2018
Figure 26: Iron scrap steel imports by value, Q1/2018
Figure 27: Steel billet production and import 2011-2016
Figure 28: Scrap steel and billet imprort price, 2016-2017
Figure 29: HRC import output, 2013-2016
Figure 30: Enterprise and worker quantity in the steel industry, 2010-2016
Figure 31: Enterprise distribution by area, 2015
Figure 32: Vietnam crude steel output, 2007-Q1/2018
Figure 33: Crude steel output in the region, 2016
Figure 34: Steel consumption volume, 2009 – Q1/2018
Figure 35: Steel product consumption structure, Q1/2018
Figure 36: Defense constructing steel tax
Figure 37: Constructing steel output, 2016-Q2/2018
Figure 38: Constructing steel consumption volume, 2011 – Q1/2018
Figure 39: Construction steel market share, 10T/2017
Figure 40: Comparation of steel prices between China and Vietnam
Figure 41: Steel price volatility, 2017
Figure 42: Steel pipe production and consumption, 2012
Figure 43: Galvanized steel market share 10T/2017
Figure 44: Galvanized steel production and consumption, 2012 – Q1/2018
Figure 45: Iron and steel production and import, 2011 – Q2/2018
Figure 46: Steel import market structure by value, 2017
Figure 47: Iron and steel import revenue from China, 1/2016-12/2017
Figure 48: Top 10 most-imported steel items, 2017
Figure 49: Iron and steel production and export, 2009-2017
Figure 50: Iron and steel export market structure, 2017
Figure 51: Top 10 most-exported steel products, 2017
Figure 52: Net revenue growth, 2015
Figure 53: Gross profit rate 2017
Figure 54: Cost of sales and cost/ Net revenue 2016
Figure 55: Corporate management costs and CMC/Net revenue, 2016 – 2017
Figure 56: Financial cost / Net Revenue 2016 -2017
Figure 57: Asset structure, 2016
Figure 58: Debt structure, 2017
List of tables:
Table 1: Technology application by enterprises
Table 2: Coke demand for Vnsteel steel production, 2017-2020
Table 3: HRC and CRC production, consumption and export 10T/2017
Table 4: Currently-invested projects
Table 5: Steel pipe market 10T/2017