Vietnam probes high steel prices

Tuesday, 14 August 2007 15:43:52 (GMT+3)   |  
Vietnamese sources have reported that the government has begun a week-long inspection of five major steel mills on the issue of alleged unjustified hikes in domestic steel prices.

The inspection, under the supervision of the Ministry of Finance, Trade and Industry and the Price Management Department, will evaluate production costs at the Thai Nguyen Iron and Steel Company, Vinausteel Company, Dinh Vu Steel Company, Southern Steel Company, and Vinakyoei.

The government decision to probe these companies came after their refusal to submit detailed reports regarding their production costs, which had been demanded by the Vietnamese authorities in late July as part of an attempt to tackle the country's rising inflation.

Meanwhile, the report presented by the Vietnam Steel Manufacturers' Association and Vietnam Steel Corporation stated that there are some inconsistencies between the actual costs of imported steel and those reported by the steel mills.


Tags: Production 

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