Domestic steel industry "warms up", world continues to cool down

Domestic steel market: Signs of recovery but many challenges remain
In May 2025, the Vietnamese steel market recorded a slight recovery in domestic consumption, especially in the construction steel segment. However, exports still faced difficulties due to trade barriers from the US and EU.

• Domestic consumption: Domestic steel mills have adjusted scrap purchase prices upward due to scarce supply and slightly increased demand.
• Export: Steel exports are still slowing down due to trade protection policies from the US and EU.

International steel market: Fluctuations due to trade policies and business mergers
In the global market, steel prices continue to be under downward pressure due to oversupply and political and trade factors:

• World steel prices: Since the beginning of 2025, steel prices have decreased by about 6.92%, reflecting excess supply and weak demand from major markets such as China.
• Trade policy: Former US President Donald Trump postponed tariffs on the EU until July 9, 2025, giving more time for trade negotiations.
• Mergers: Nippon Steel is pursuing a $14.9 billion acquisition of United States Steel, aiming to strengthen its position in the US market amid increasing global competition.

Comments and forecasts
The Vietnamese steel market is showing positive signs from domestic demand, but still faces challenges from the export market. Internationally, political and trade factors continue to affect prices and supply and demand. Businesses in the industry need to closely monitor these developments to adjust their business strategies accordingly.