This week, the scrap and HRC markets have many factors indicating a return to the upward price trend. This will have a significant impact on related markets such as billets and finished steel. The hope for price stabilization in the market is gradually becoming more widespread. One point to note is that Vietnam's import market, especially for billets and wire rods, has seen slight improvement, coupled with the decline in the international market, which may limit the upward momentum in the domestic market.

Imported scrap market:

The scrap prices from Japan to Vietnam have slightly decreased following the decline in the Korean market. Vietnamese buyers have shown less interest in the import market this week, resulting in fewer recorded transactions.

Domestic scrap market:

After a period of stability, major factories in the North such as Hoa Phat, Tisco, Shengli, VAS Nghi Son, etc., have competitively increased scrap prices, leading to an increase in prices for traders.

Import-export billet steel market:

The highlight of this week is the arrival of imported billet shipments at Vietnamese ports. As a result, the Vietnamese import market has received more purchase orders, while the export billet prices have slightly decreased.

Domestic billet steel market:

Billet prices remained stable throughout this week, partly due to the increase in scrap prices. However, the pressures on the billet market have not changed, making price stability difficult to achieve.

Imported HRC market:

The number of import offers for HRC to Vietnam increased this week, while the prices continued to fluctuate according to the Chinese market trend. Nevertheless, trading activities were weak this week.

Domestic HRC market:

The focal point of this week is Hoa Phat's unexpected early price announcement and a slight increase in HRC prices. Traders are awaiting Formosa's prices for the next week, resulting in almost stagnant prices this week.

Export construction steel market:

The decline in the Chinese and Southeast Asian markets has led to a decrease in the export prices of Vietnamese construction steel, but some transactions have been recorded. The imported wire rod market has seen an increase in purchase orders with a slight decrease in prices.

Domestic construction steel market:

The prolonged weak purchasing power has made the construction steel market increasingly challenging in early July. However, the improvement in the scrap market and the increased volume of steel exports are reinforcing expectations of price stabilization in the market.

Pipe and box steel market:

The prices of pipe and box steel from traders have remained stagnant amid fluctuating prices from different mills. Nevertheless, the expectation for a larger price increase in the pipe and box steel market has been created by Hoa Phat's HRC price hike.

Corrugated iron market:

The corrugated market has not witnessed any price adjustments from additional factories following Hoa Sen's price change. The prices from traders have decreased slightly by around 0.4% this week. Expectations for price stabilization have emerged after the upward trend in HRC prices.

Source: Giathepton