Vietnam's steel prices today - January 8, 2024: The domestic market continues to be stabilized

Steel prices today January 8, 2024: The domestic market continues to stabilize. Notably, the demand for imported HRC steel in Europe is currently quiet.

Demand for imported HRC steel in Europe is quiet

In Europe, the HRC steel market continues to be quiet in the first days of 2024 due to the New Year holiday, but manufacturers expect prices to increase in the coming days.

Steel prices today January 8, 2024: The domestic market continues to stabilize
The Vietnam Steel Association (VSA) said that in 2024 steel consumption will increase by 7% to 21.7 million tons. Output can reach nearly 29 million tons, an increase of 7% compared to 2023.

According to market research firm Fastmarkets, the domestic HRC price in Northwest Europe on January 4 was at 695 EUR/ton (759.89 USD/ton), only slightly down 0.42 EUR/ton compared to the previous day; decreased 0.50 EUR/ton compared to last week, but increased 18.33 EUR/ton compared to last month. In Southern Europe, it was stable at 689.58 EUR/ton, but increased 1.25 EUR/ton compared to last week and increased 19.58 EUR/ton compared to last month.

Fastmarkets said that most buyer sources estimate HRC prices to fluctuate around 680 - 700 EUR/ton (ex-factory price) or slightly higher if supply remains tight.

In Northern Europe, offers from some factories for February-March 2024 deliveries were at 720-750 EUR/ton (ex-works price) before the holidays; Prices are higher than average mainly due to high production costs.

In Italy, price offers from steel manufacturers for HRC shipments delivered in February-March 2024 are at 720-730 EUR/ton.

Regarding imported goods, the market is not yet too interested in importing more goods because the safeguard quota for HRC in the first quarter of 2024 from other countries has been exhausted. Besides, buyers are still hesitant about port storage costs when the possibility of customs clearance in the second quarter of 2024 is still unclear, Fastmarkets said.

The steel market is expected to recover strongly in 2024

Forecasting the steel industry outlook in 2024, the Vietnam Steel Association (VSA) said that steel consumption will increase by 7% to 21.7 million tons. Output can reach nearly 29 million tons, an increase of 7% compared to 2023.

Specifically, steel demand is expected to increase strongly again when output, the real estate market, recovers from 2024. The latest data from the Ministry of Construction shows that, although apartment and condominium transactions, The land plot in the third quarter of 2023 is only about 73% over the same period but has increased by 24.7% compared to the second quarter of 2023. In addition, the number of completed and under construction projects increased compared to the same period in 2022.

According to CBRE's report, apartment supply is expected to improve from 2024. In particular, apartment supply in Hanoi is expected to increase by more than 33% in 2024, reaching 20,000 apartments and in Ho Chi Minh City. Ho Chi Minh supply reached about 12,000 units (up 31%). CBRE believes that the recovery of apartment supply will positively impact domestic construction steel demand.

In a recent report, MB Securities (MBS) forecasts that in 2024, domestic construction steel prices will recover to 15 million VND/ton (up 8% compared to 2023) thanks to the increase in world steel prices and Demand is warming in the Vietnamese market.

MBS believes that, thanks to supportive policies that can restore the real estate market from mid-2024, apartment supply is expected to grow by 20% over the same period (according to CBRE forecasts), which will boost demand. and have a positive impact on domestic steel prices.

Steel price details in 3 specific regions:

Steel price in the North:

According to SteelOnline.vn, Hoa Phat steel brand, with CB240 steel coil line at 13,940 VND/kg; D10 CB300 rebar steel is priced at 14,240 VND/kg.

Viet Y steel brand, CB240 steel coil line stopped at 13,870 VND/kg; D10 CB300 rebar steel is priced at 14,170 VND/kg.

Viet Duc Steel, with CB240 rolled steel line at 13,640 VND/kg, D10 CB300 rebar steel bar priced at 14,340 VND/kg.

Viet Sing Steel, with CB240 steel coil at 13,650 VND/kg; D10 CB300 rebar steel is priced at 13,850 VND/kg.

VAS steel, with CB240 steel coil line at 13,600 VND/kg; Meanwhile, D10 CB300 rebar steel is priced at 13,850 VND/kg.

Steel prices in the Central region:

Hoa Phat Steel, with CB240 steel coil line at 13,940 VND/kg; D10 CB300 rebar steel is priced at 14,340 VND/kg.

Viet Duc Steel, CB240 steel coil line is currently at 14,140 VND/kg; D10 CB300 rebar steel is priced at 14,750 VND/kg.

VAS steel, currently D10 CB300 rebar steel is priced at 14,260 VND/kg; CB240 steel coil line is at 14,010 VND/kg.

Pomina steel, with CB240 steel coil line at 14,890 VND/kg; D10 CB300 rebar steel is priced at 15,300 VND/kg.

Steel prices in the South

Hoa Phat Steel, D10 CB300 rebar steel is priced at 14,250 VND/kg; CB240 steel coil at 13,950 VND/kg.

VAS steel, CB240 steel coil line at 13,600 VND/kg; D10 CB300 rebar steel is priced at 13,850 VND/kg. Pomina steel, CB240 steel coil line is priced at 14,590 VND/kg; D10 CB300 rebar steel is priced at 14,990 VND/kg.

Information for reference only!