The Dung Quat 2 project of Hoa Phat Group (HPG) has started trial operation for phase 1, with full operation expected in 2025, and phase 2 currently at 50% progress. The production capacity of HPG’s HRC is projected to reach 6.6 million tons by 2026. In 2024, HPG’s interest costs decreased by 36% due to low interest rates and capitalizing investment costs; however, these costs are expected to increase by 18% in 2025 once capitalization ceases. The temporary anti-dumping tax on HRC imported from China will affect domestic consumption and production. Domestic demand for HRC in 2025 is predicted to be 13.1 million tons, with domestic output estimated at 5.6 million tons. HRC prices are expected to rise due to increasing domestic demand, although steel prices may face downward pressure from input costs.
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