AsianFin -- Vietnam has announced anti-dumping tariffs on Chinese steel, joining South Korea and other nations in pushing back against an influx of cheap steel exports from the world's largest producer.
The Ministry of Industry and Trade stated on Friday that temporary tariffs on certain hot-rolled coil products will take effect in early March. Vietnam, the largest buyer of Chinese steel outside of China itself, is particularly affected by the surge, as hot-rolled coil remains a key export product.
China’s steel exports reached a nine-year high in 2024, driven by a domestic construction slowdown that forced producers to seek global markets. This trend has triggered protectionist measures worldwide, including a proposed blanket 25% tariff on all U.S. steel imports by former President Donald Trump, as well as similar actions under consideration in South Korea, Brazil, and India.
The wave of new tariffs is set to increase pressure on Beijing to curb its massive, billion-ton steel industry amid slowing domestic demand. In response to the developments, steel futures in China dropped by as much as 1.8%, while shares of Vietnamese steelmakers saw gains.
Analysts, including Jack Shang from Citigroup Inc., suggested that the rising global restrictions could push China to implement another round of supply-side reforms to enhance production discipline and improve industry profitability.
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