Key facts
- Vietnam imported 612,000t of ferrous scrap in July, up 1.3% from June and 19% from a year earlier.
- Total imports from January to July reached 3.8 million tonnes, a 7% increase year-on-year.
- Crude steel production in Vietnam increased by 28% year-on-year to 17.92 million tonnes in the first seven months.
- US scrap imports surged 84% year-on-year to 144,000t in July.
- Australian scrap imports more than doubled year-on-year to 87,000t in July.
Vietnamese steel mills significantly increased their imports of ferrous scrap in July, reaching the second-highest monthly volume this year. This trend is supported by strong crude steel production and consistent domestic demand.
In July, Vietnam imported 612,000 tonnes of ferrous scrap, marking a 1.3% rise from June and a substantial 19% increase compared to July of the previous year. For the period of January to July, total imports grew by 7% year-on-year, accumulating to 3.8 million tonnes.
This heightened scrap consumption is linked to the expansion of Vietnam's steelmaking capacity. Crude steel production for the first seven months of the year reached 17.92 million tonnes, a 28% year-on-year increase, significantly outpacing the global steel industry's growth rate.
While Japan remained Vietnam's primary scrap supplier, its shipments decreased by 12% month-on-month to 226,000 tonnes in July. This was partly due to Japanese domestic scrap prices holding steady while other seaborne markets saw price drops, leading Japanese traders to prioritize domestic sales.
To ensure adequate supply, Vietnamese mills turned to alternative sources. Imports from Singapore and Canada each reached 20,000 tonnes in July, with Cambodia supplying 14,000 tonnes. Notably, US scrap imports surged by 84% year-on-year to 144,000 tonnes, the highest monthly volume since April 2023. Imports from Australia also more than doubled year-on-year to 87,000 tonnes in July, and 31,000 tonnes were imported from New Zealand.