Paradox: Exports and imports of steels with China both increase dramatically

Sketched by T.Bình

According to the General Department of Vietnam Custom, in April, exported steel of all kinds of Vietnam hit 1.02 million tonnes with the turnover of $770 million, down by 17% in volume and 14.4% in turnover compared to last month.

In the first four months of 2021, exports of this commodity group hit 3.9 million tonnes, up significantly by 50.4% over the same period last year and turnover reached $2.79 billion, increasing some 96.3%.

In the past four months, iron and steel of all kinds were mainly exported to the two main markets of ASEAN, reaching 1.49 million tonnes, increasing by 2.6% and China reaching 893 thousand tonnes, soaring 86% over the same period last year.

In the opposite direction, in April, the country imported 1.35 million tonns of iron and steel of all kinds, worth $1.09 billion, down by 5.8% in volume and increasing by 0.6% in turnover compared to the previous month.

Generally, in the first four months of the year, the country imported more than 5 million tons, rising by 12.6% over the same period last year, with a turnover of $3.73 billion, up by 36.6%.

Iron and steel of all kinds imported to Vietnam mainly originated from five markets: China, Korea, Japan, Taiwan and India.

However, only the Chinese market escalated while the rest of the markets fell sharply.

Imported volume from China reached 2.63 million tonnes, increasing by 70%; Japan reached 665 thousand tonnes, declining by 19%; Korea was 524 thousand tonnes, dropping by 11%; Taiwan was 409 thousand tonnes, down 33% and India was 339 thousand tonnes, decreasing by 33%.

Looking at the above data, it can be seen it is quite paradoxical when the exports and imports of iron and steel between Vietnam and China both increase by tens of percentage points.

In terms of the average value (excluding tax), each tonne of steel imported from China costs $696, equivalent to about VND 16 million/ton, an increase of nearly $100 compared to the same period in 2020 (it was $605/tonne in the same period in 2020).

While the average export value to China was $547/tonne, equivalent to nearly VND13 million, an increase of more than 138 USD/tonne compared to the same period last year (the same period in 2020 was $408.7/tonne).