Domestic steel firms overcome difficulties

Vietnamese steel products have high expectations of domestic market

According to Chu Duc Khai, Vice-Chairman of the Vietnam Steel Association, Russia is one of the world’s top steel producers. For electricity alone, Russia only spents 150 kWh of electricty on producing one ton of steel ingot, but Vietnam must spend from 450kWh to 500kWh, 3-4 times higher than the level of Russia.

Domestic steel enterprises have managed to overcome difficulties. Along with investing in new technologies, reducing production costs, the sector has also made efforts in seeking new markets and putting more focus on domestic market. Hence, although export market fell into hindrance, Hoa Sen Group in 2013 still secured VND581bln in revenue. Or, Hoa Phat Group also reached a total revenue of VND26trillion.

Reported by Minh Nguyen-Translated by K.T