Hoa Phat’s construction steel output double in January

In January 2022, Hoa Phat Group achieved a crude steel production output of 707,000 tons, up 5 per cent over the same period last year. Sales volume reached 631,000 tons, including construction steel, steel billet, hot rolled coil (HRC). In which, construction steel accounted for 382,000 tons, two times higher than the corresponding period of 2020. Hot rolled coil (HRC) also recorded a high volume of 228,000 tons.

Hoa Phat’s construction steel output in January double than the same period last year

In the first month of the year, Hoa Phat’s construction steel production increased sharply in the domestic market due to increased demand for civil construction and projects before Tet (Lunar New Year). The South and Central regions had the strongest growth, 2 and 3 times increases respectively over the same period of 2020.

By meeting the strict standards of UK Cares, JIS (Japan), ASTM (USA), BS (UK), Hoa Phat’s high quality construction steel continues to receive large orders in the international market. Construction steel export volume in January reached 116,000 tons, 3 times higher than the same period in 2021. The main export markets include Singapore, Hong Kong, Canada, Japan, South Korea, Cambodia.

According to Mr. Kieu Chi Cong - Director of Hoa Phat Hung Yen Steel Company Ltd, steel demand in the coming months in both domestic and foreign market would be still high. The company has received maximum export orders for factories in Hai Duong and Quang Ngai until April. With this number of orders, factories must always operate at full capacity to serve market demand. The exploitation of export markets aims to diversify consumption markets, and at the same time contribute to foreign currency collection and trade balance of Vietnam.

Hoa Phat’s hot rolled coil (HRC) product has been given much attention from many countries and territories in the world

The market demand for hot rolled coil (HRC) products has been increasing day by day. Every month, domestic customers offer to buy more than 300,000 tons of HRC. However, at maximum capacity, Hoa Phat Group can only meet the output of about 250,000 tons. Hoa Phat receives orders from the US, Canada, Mexico, Italy, Germany, South Korea, Indonesia, etc. However, Hoa Phat's output is not enough to meet the market's demand.

Downstream steel products such as prestressed steel, steel pipes, galvanized steel, and wire drawn steel have also been positively given attention in the market, of which galvanized steel recorded a growth of 68 per cent year-on-tear increase.

Hoa Phat's crude steel capacity is currently more than 8 million tons a year including 5 million tons of construction steel and 3 million tons of HRC. Hoa Phat Group is promoting the implementation of the Hoa Phat Dung Quat 2 Steel Integrated Complex project, focusing on producing hot rolled steel coil with a capacity of 5.6 million tons a year. It is expected that when the project comes into operation in 2025, Hoa Phat's steel production capacity will reach about 14 million tons a year, including 8.6 million tons of HRC.

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