Vietnam's scrap imports start 2017 with a bang; reports 71% jump

SPOKANE (Scrap Monster): The latest trade data released by the Vietnamese Ministry of Finance suggests significant decline in scrap imports by the country during January this year. This is when compared with the imports during the month prior to that. On the other hand, the imports soared higher when matched with those during the same month a year before.

The country’s ferrous scrap imports totaled 292,831 tons in January 2017, considerably lower by 23.2% when matched with the imports during December 2016. Vietnam had imported 381,250 tons of steel scrap during Dec ’16. However, when matched with the previous year, the imports soared higher by 70.8%. The ferrous scrap imports by Vietnam had totaled only 171,447 tons in January 2016. The monthly import prices averaged at US$ 261.8 per ton in Jan ‘17, considerably higher by nearly 9% over the previous month. The import prices had averaged at $240.5 per ton during the last month of 2016. The value of monthly scrap imports amounted to US$ 76.65 million, down by 16.4% when matched with the prior month, Ministry of Finance data suggested.

It must be noted that the monthly ferrous scrap imports averaged at 325,000 tons during 2016. The value of imports for the whole year soared by nearly 8% from US$ 808.23 million in 2015 to US$ 872.08 million in 2016.

According to Vietnamese Ministry of Industry and Trade, the country’s crude steel and rolled steel output is expected to increase to 5.5 million tonnes and 5.8 million tonnes respectively. This implies 16.6% year-on-year rise in crude steel production and 18% jump in rolled steel production. The projected surge in steel output by the country may lead to increased intake of scrap, which in turn may further boost the level of scrap imports during 2017.

Imports- Dec ’16

The country’s scrap imports totaled 381,250 tons in December 2016, considerably lower by 7.33% when matched with the imports during November 2016. The monthly import prices averaged at US$ 240.5 per ton in Dec ‘16, marginally higher by 2.6% over the previous month. The value of monthly scrap imports amounted to US$ 91.7 million, down by 4.9% when matched with the prior month. Incidentally, Vietnam turned out to be the largest importer of ferrous scrap from Hong Kong during the month.

The combined scrap imports during the entire calendar year 2016 totaled 3.90 million tons. The imports during the year were significantly higher when compared with the previous year. Vietnam’s scrap imports had totaled only 3.186 million tons during 2015. Year-on-year, the imports surged higher by 22.4% in 2016. The 2016 calendar year imports surpassed the earlier high of 3.376 million tons recorded in 2014.

Imports- Nov ’16

The trade data published by the Vietnamese Ministry of Finance indicates that the country’s steel scrap imports surged higher significantly during the month of November last year.

Vietnam’s ferrous scrap imports totaled 411,424 tons in November 2016, surging higher by 9.6% from the previous month. The country’s scrap imports had totaled 375,387 tons in October last year. The value of imports surged higher by 8.5% to $96.449 million. The imports averaged at $234.40 per ton during the month. The average price of import declined marginally by 1% over the previous month.