Vietnam’s trade deficit in steel is likely to surpass last year’s US$5.3 billion record, according to data from the General Department of Vietnam Customs.
The Vietnamese steel deficit widened to $4.6 billion as of the end of last month, up $400 million from the same period last year.
The deficit is thus expected to be higher than the $5.3 billion recorded last year.
Vietnam’s trade deficit in steel as of September was 8 million tons, or over $4.4 billion, with imports worth more than $6.6 billion (10.8 million tons), and exports more than $2.1 billion (2.75 million tons) according to the Vietnam Steel Association (VSA).
The VSA said there are still no positive signs of a shrinking of Vietnam’s steel deficit, while imports of Chinese steel remain on an upward trend.
Chinese steel products accounted for $3 billion, or 48 percent, of the $6.26 billion steel import turnovers from January to October, according to the association.
Imports of boron steel from China, whose exporters are likely to enjoy zero import duty via tax fraud, continue to rise as Vietnam is still unable to produce this type of steel, the VSA said.