Vietnam: Formosa Ha Tinh reduces HRC prices by $40/t m-o-m for Aug-Sep'26 sales

• Weak demand, lower import offers weigh on domestic HRC prices
  
  
• Hoa Phat cuts HRC prices by $35/t m-o-m for Aug'26 sales
  
  

Major Vietnamese steel producer, Formosa Ha Tinh (FHS), has reduced its hot-rolled coil (HRC) prices by around $40/t (VND 1.051,537/t) m-o-m for Aug-Sep 2026 shipments. Following the adjustment, FHS's SAE1006 skin-passed HRC is now priced at approximately $545/t (VND 14,309,577/t) Ho Chi Minh City (HCMC), compared with $585/t (VND 15,359,821 /t) for July 2026 sales.

Market updates

1. Hoa Phat lowers HRC prices m-o-m for Aug'26 sales: Vietnamese steel producer Hoa Phat Group has reduced its domestic hot-rolled coil (HRC) (SAE1006, non-skin-passed) prices by around $35/t (VND 920,306/t) m-o-m for August 2026 sales, reflecting weaker regional market fundamentals. Following the revision, HRC prices in southern Vietnam were set at approximately $549/t (VND 14,435,655/t), excluding VAT.

2. Domestic market overview: Vietnam's domestic HRC market remained under pressure during the week, as subdued downstream demand and expectations of softer prices continued to dampen buying interest. Buyers largely maintained a cautious, wait-and-see approach ahead of the latest monthly HRC price announcements from major domestic mills, resulting in limited trading volumes. Meanwhile, falling imported HRC offer prices across Southeast Asia intensified competitive pressure on domestic suppliers, further weighing on overall market sentiment.

3. Vietnam's steel imports:

Vietnam imported 1.3 mnt of steel in May, down by 0.13 mnt m-o-m from 1.43 mnt in April 2026. However, on a y-o-y basis, total steel imports remained largely stable, increasing marginally by 0.01 mnt from 1.29 mnt in May 2025.

Outlook

Vietnam's domestic HRC market is expected to remain under pressure in the coming week, with trading activity likely to stay limited as weak end-user consumption keeps buyers focused on need-based procurement. Competitive import offers across Southeast Asia are expected to continue weighing on domestic mills. In the absence of a meaningful recovery in manufacturing and construction demand, market sentiment is likely to remain subdued, with HRC prices expected to remain under downward pressure.