Steel industry expects rosy outlook for 2022

21-Jan-2022 Intellasia | VNA | 5:02 AM Print This Post

Many insiders believe that 2022 will be a promising year for the steel industry when the pandemic is brought under control and construction demand rebounds strongly.

Last year’s crude steel output is estimated at 23 million tonnes, up 16 percent from 2020. Meanwhile, 33 million tonnes of finished steel products was manufactured and 29 million tonnes sold, respectively rising 19 percent and 16 percent, according to the Vietnam Steel Association (VSA).

Positive export results were recorded in 2021 when more than 14 million tonnes of finished and semi-finished steel products were shipped abroad, bringing home over 12.7 billion USD. However, domestic sales fell 11 percent year-on-year as a result of the coronavirus resurgence’s impact.

VSA vice Chair Tran Tuan Duong, who is also vice President of the Hoa Phat Group, said despite the lingering COVID-19 pandemic, the steel industry of Vietnam has still posted growth. Facing stagnation in the domestic market, businesses have boosted exports, making the country a net exporter and the largest producer of steel in Southeast Asia.

Chair of the association Nghiem Xuan Da held that 2021 was a favourable year for the steel sector of Vietnam and the world at large. As free trade agreements took effect and trade tensions between superpowers caused difficulties to the global market, it was a chance for the Vietnamese industry to join global supply chains.

Vietnam’s steel market is forecast to have a better outlook in 2022 when the government issued directions on stabilising and developing production and business activities flexibly adapted to the pandemic.

The VSA noted the government’s Resolution No. 01/NQ-CP, released on January 9, 2022, that details measures for socio-economic recovery and development will support the industry to grow more strongly this year./.

https://en.vietnamplus.vn/steel-industry-expects-rosy-outlook-for-2022/220947.vnp

 

Category: Business, Vietnam

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