On September 3rd, steel stocks stood out as they recorded strong increases during the trading session. HSG and NKG stocks hit the ceiling, with high trading volumes, which helped VN-Index decline only by 1 point. Besides these stocks, other steel stocks saw increases of 3% to 5% from their April 2025 lows. The main reason is the reduction in steel prices from China, driven by the government’s production cuts. Domestic steel consumption in the first seven months of this year grew by 16%, with demand expected to improve in the second half. Prices of construction steel and HRC show signs of recovery. MB Securities predicts that input material prices like coal and ore will drop, boosting the gross profit margins of steel companies for 2025-2026. MBS forecasts that the industry’s profits will grow by 47% and 32%, respectively, in the next two years due to rising domestic demand and recovering profit margins.
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