Increased Demand for Wider-Width HRC
The Vietnamese hot rolled coil (HRC) market remains sluggish, but there is growing interest in wider-width Chinese HRC. This shift is driven by efforts to circumvent potential anti-dumping duties on standard-width imports. Recent offers for 3-12mm thickness, 1,500mm width boron-added Q235 HRC were at $493/t CFR Vietnam, while 2,000mm width variants were offered at $505/t CFR Hai Phong and $510/t CFR Ho Chi Minh City, for January 10 shipments pending confirmation.

Recent Transactions and Buyer Behavior

• Some Vietnamese buyers have purchased 2,000mm width Q235 HRC from China at $500/t CFR.
• A trader estimates 6,000-7,000 tonnes of such material were booked recently, suggesting confidence that anti-dumping measures may not apply to these purchases.
• Position cargoes, being cheaper than current offers, also appeal to cost-sensitive buyers.

Regional Pricing and Offers

• Chinese SAE 1006 HRC position cargoes are quoted at $510/t CFR, with SAE grade 2-2.7mm thickness HRC assessed at $505-515/t CFR, unchanged week-on-week.
• Korean and Japanese SAE 1006 HRC offers for January shipment are at $530/t CFR Vietnam and $540/t CFR, respectively.
• Indonesian and Taiwanese offers are higher, at $550/t CFR for SS400/SAE 1006 HRC and $555-560/t CFR, respectively.

Impact of Domestic Mill Adjustments
Vietnam’s Formosa Ha Tinh Steel has lowered its domestic HRC prices for December/January shipments for bulk orders of 10,000 tonnes or more, offering a discount equivalent to $10/t. This move highlights its focus on the local market, as securing higher volumes remains a priority.

Market Challenges
Export-oriented business for HRC continues to face challenges, with traders reporting low order volumes. Meanwhile, the ongoing anti-dumping investigation targeting Chinese and Indian HRC of up to 1,880mm width is expected to conclude soon, potentially leading to retroactive or preliminary duties that may further shape import strategies.

This dynamic underscores the competitive pressures and evolving strategies in Vietnam’s HRC market amidst international trade policies and shifting buyer preferences.