EU initiates anti-dumping investigation into Vietnamese hot-rolled steel

A worker transports hot-rolled steel. — VNA/VNS Photo

HÀ NỘI — The European Commission (EC) has recently issued a notice to initiate an anti-dumping investigation into certain hot-rolled steel products originating from Egypt, India, Japan and Việt Nam, imported into the European Union (EU), according to the Trade Remedies Authority under the Ministry of Industry and Trade.

The application was received on June 24 and the notice of initiation was issued on August 8, with the official applicant the European Steel Association and the product under investigation is hot-rolled steel.

The notice also specifies certain products that are excluded from the investigation, including stainless steel or grain-oriented electrical steel, tool steel and high-hardness tool steel, non-coiled steel without raised patterns, with a thickness greater than 10 mm and a width of 600 mm or more and non-coiled steel without raised patterns, with a thickness from 4.75 mm but not exceeding 10 mm and a width of 2050 mm or more.

The investigation period for dumping is from April 1 2023 to March 31 2024, while the injury investigation period was from January 1 2021 to March 31 2024.

According to Việt Nam General Department of Customs, the volume of steel exported to the EU in June 2024 decreased by 24.4 per cent compared to the same period last year, reaching over 210,000 tonnes. The average selling price in June increased by 6 per cent compared to May, reaching over US$710 per tonne, but it was still 11 per cent lower than the same period last year.

In the first six months of 2024, Việt Nam exported 1.6 million tonnes of steel to the EU, an increase of 21 per cent compared to the previous year, despite the average selling price decreasing by about 12 per cent due to global steel market challenges.

Global steel prices have declined as demand in China, the world’s largest steel producer and consumer, remains weak. This has led China to increase exports to other markets, putting pressure on prices.

According to Eurostat, if the export price of Vietnamese steel is compared with other steel supplies to the EU in the first five months of 2024, Việt Nam’s steel remains more expensive than steel from countries such as Russia, Ukraine and Egypt, at 681 euros per tonne.

The latest report from the Việt Nam Steel Association (VSA) shows that Việt Nam’s steel market share in the EU ranks seventh, a jump of 13 places compared to 2020, when the EU-Việt Nam Free Trade Agreement (EVFTA) took effect. As of May 2024, Việt Nam’s steel market share in the EU reached 6.1 per cent, a significant increase from 0.7 per cent in 2020. — VNS