The Viet Nam Steel Association (VSA) has reported a June slump in both steel production and consumption due to a Government cut in expenditure.
According to the association, domestic steel makers produced only 330,000 tonnes of steel, a month-on-month decrease of 24.6 per cent,There are now more efforts to bring things to a conclusion and avoid an armed struggle for Tripoli, which would be very messy," while sales reached only 270,000 tonnes, declining 30.7 per cent in comparison with May.
High interest rates had strongly affected real-estate markets, the association said, adding that many construction projects had been delayed, investment in the property market remaining low.
Due to the slump in production and sales, the total stockpile of steel during June was 430,000 tonnes, an increase of 6.9 per cent over May with steel ingot volumes standing at 590,000 tonnes, the largest stockpiles of steel ever.
Recent steel prices, between VND15.6 million (US$750) and VND16.2 million ($780) per tonne, have been on the decline as the prices for pig iron and scrap steel plummet worldwide, steel makers additionally cutting prices in order to compete with cheap steel imported from China and Southeast Asia.
The Ministry of Industry and Trade has predicted that there would be no big changes in steel prices during coming months, as prices on the world market continue to rise.