[SMM Steel] VNSTEEL warns of persistent oversupply despite near-term price upcycle

Published: Apr 28, 2026 14:41

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[SMM Steel] VNSTEEL highlighted ongoing oversupply risks in Vietnam’s steel sector, despite identifying 2025–2026 as a price upcycle phase. The company noted national construction steel capacity stands at around 20 mln mt, while actual demand has remained at 11–13 mln mt, with flat steel segments also facing 40–50% oversupply. Rising competition from both domestic expansion and imports continues to pressure margins, while export prospects remain constrained by trade barriers. VNSTEEL expects steel prices to trend downward over the next five years and plans to focus on efficiency upgrades rather than capacity expansion.

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