Vietnam-based steelmaker Hoa Phat Group produced 2.18 million mt of steel in January-October, up 12.5 percent year on year, though output in October was about seven percent lower than in September, falling to 180,000 mt, SteelOrbis understands from the company’s release.
The reduction was connected with the decline in exports, while the producer maintained its supply volume for the domestic market. Shipments abroad were about 14,200 mt in October, much lower compared to 26,600 mt in September.
At the same time, sales of construction steel in Vietnam were stable, while Hoa Phat Group kept its local billet sales at 30,000 mt per month. The company is developing sales to the southern part of the country. Before the launch of Hoa Phat Dung Quat, transportation to the south of Vietnam required more than seven days, but from Hoa Phat Dung Quat Port it takes just about three days, the producer said.
As the group will finish the launch of all four converters at Hoa Phat Group’s Dung Quat project in 2020, it will be capable to increase steel production by 2.5 times compared to 2019.