Hoa Phat achieved steel sales of 8.8 million tones in 2021, posting 35% y-o-y hike

In December 2021, Hoa Phat Group’s sales of steel products reached 799,000 tones, up 14 per cent over the same period of 2020. In which, the sale of finished construction steel was 353,000 tons, representing 10 per cent year-on-year increase. Construction steel exports in December continued to achieve high output with nearly 94,000 tons, increasing 59 per cent over the corresponding period of 2020. Hot rolled coil (HRC) steel sale reached 217,000 tons. The remaining sale was steel billet, steel pipe and galvanized sheet.

 

In the context of facing difficulties caused by the COVID-19 pandemic, Hoa Phat iron and steel production complexes in Hai Duong, Dung Quat - Quang Ngai and Hung Yen have still been operating at full capacity to serve domestic and foreign markets. Last year, the group has supplied to the market a total of 8.8 million tons of steel including steel billet, construction steel, HRC, steel pipe and corrugated iron, up 35 per cent over the previous year. 2021 was also the first time Hoa Phat Group reached record sales volume of over 1 million tons of steel in a month.

In terms of products’ proportion, construction steel and HRC contributed mainly to the sales volume. Construction steel recorded 3.9 million tons, increasing 14 per cent over the same period of 2020 and contributing 44 per cent of total steel output of all kinds. HRC reached 2.6 million tons, tripled in 2020 and contributing 28 per cent of total output. In addition, galvanized steel products in 2021 exceeded the design capacity for the first time when reaching 428,000 tons.

Export activities made an important contribution to output in 2021. For the first time, exports of steel billet and construction steel recorded 2.3 million tons. The main export markets are Canada, Australia, Japan, South Korea, China. Galvanized steel products also had a brilliant export year when reaching 297,000 tons, contributing 69 per cent of the total amount of Hoa Phat’s steel sheet supplied to the market. The export promotion helps Hoa Phat diversify its consumption markets while the domestic market is affected by the COVID-19 pandemic. At the same time, it contributes to foreign currency collection and ensures Vietnam's trade balance.

Hoa Phat exports over 1 million tons of construction steel for the first time in 2021

Hoa Phat Group continues to hold the No. 1 position in Vietnam in terms of market share for construction steel and steel pipes. Hoa Phat steel sheet is in the Top 5 enterprises holding the largest market share in the country. Hoa Phat Group is also the only Vietnamese enterprise that can produce HRC. 

With a capacity of over 8 million tons a year, Hoa Phat Group is the largest steel producer in Vietnam, equivalent to the Top 50 largest steel enterprises in the world. From 2022, the group will implement the Hoa Phat Dung Quat 2 Steel Integrated Complex project, with a yearly capacity of 5.6 million tons. It is expected that when completed in 2025, Hoa Phat's steel output will reach about 14 million tons a year, reaching the Top 30 largest steel enterprises in the world.

HPG News