Proactive response
The US is currently Vietnam's largest steel export market, far surpassing European countries such as Italy, Belgium, Spain, or Southeast Asian countries such as Cambodia. According to data from Fiinpro, in 2024, Vietnam exported more than 1.3 billion USD worth of iron and steel and 2.6 billion USD worth of steel products to the US, an increase of 32% compared to 2023. In addition, Vietnamese aluminum and steel exported to the US have been subject to high tariffs, 25% for steel and 10% for aluminum, since 2018. Therefore, when the tax rate is raised, Vietnam's steel exports to the US are almost unaffected. Furthermore, domestic steel demand in the coming time is forecast to increase sharply, thanks to the demand when the real estate market is warming up again, the North-South Expressway project, Tuyen Quang - Ha Giang Expressway and infrastructure projects in public investment capital are being promoted, there will be a large demand for steel, which can balance supply and demand in the coming time.
Steel coils of Tuyen Quang Iron and Steel Company Limited meet national standards.
However, according to the steel industry, the level of impact is not uniform among businesses, as it depends on each steel product group, the ability to adapt to changes and the strategy of diversifying export markets of each company. Some businesses may face great difficulties when losing an important market, while other businesses, with the initiative and flexibility in adjusting production and expanding markets, may be able to minimize the negative impact of this new tax decree.
Mr. Nguyen Duy Luan, Director of Tuyen Quang Iron and Steel Company Limited, said: In the short term, the company's steel products will not be affected much by the US's decision to impose a 25% tax on imported steel and aluminum because Tuyen Quang steel products supply the domestic market. Since the US imposed a 25% tax on Vietnamese steel in 2018, in 2024, the Ministry of Industry and Trade has had many trade protection measures for domestic steel, so basically the steel industry will be less affected by this US decision. However, this is once again a challenge for businesses, requiring more advanced technology and better quality to compete with steel from other countries.
Tuyen Quang Iron and Steel Company Limited operates in the field of mineral exploitation and steel refining with main products: Iron ore, steel billet, ribbed steel, steel wire, steel bars... produced by closed modern technology, from the mining exploration system, ore dressing workshop, iron blast furnace, oxygen furnace, steel smelting, high-speed steel rolling line... can produce a variety of high-quality steel products, ensuring national standards. The company has a comprehensive service providing "green steel" with a long life, high industrialization to serve industrial development and environmental protection. These are the advantages for Tuyen Quang steel products to compete in the market. In 2025, Tuyen Quang Iron and Steel Company Limited strives to produce 290,000 tons of steel of all kinds, with revenue of about 3,900 billion VND.
Enhance value
Woodsland Joint Stock Company specializes in manufacturing interior and exterior wooden furniture, wooden doors, and industrial wooden floors for domestic sale and export to the US, Europe, Japan, and Korea. Although the products are mainly for export, the company is quite confident in the face of unpredictable fluctuations in the world today. Ms. Le Ngoc Mai, Head of Planning Department of Woodsland Joint Stock Company said: "When exporting to foreign markets, ensuring the origin is very important, and our company is very confident that we always ensure transparent and legal origins and we aim to diversify markets". Exported goods to the US and exported goods to Europe must meet very high and different criteria. Goods exported to Europe require traceability to the coordinates of the planted forest. Goods exported to the US require very diverse and rich designs. To be able to export to a variety of different markets, it must be almost completely good, good from input materials to output products.
Production of wooden furniture for export at Woodsland Tuyen Quang Joint Stock Company.
Textiles and garments are also Vietnam's main export products to the US. In 2024, the province's export value will reach 170 million USD, of which the textile and garment industry will produce over 9.5 million products, with an export turnover of about 50 million USD, accounting for about 37.6%. Mr. Kim Huyng Gie, General Director of MSA YB Co., Ltd. shared: Currently, the US has imposed a tax on Chinese goods at a rate of 10%. Vietnam has a very high export surplus to the US, especially textiles and garments (second only to China), with a market share of about 19 - 20%, so the possibility of being taxed in the near future is very likely. Currently, the unit has not been affected much by global trade fluctuations. In fact, the export turnover in January achieved positive results, showing that the market share and textile and garment export activities to the US are developing well. Currently, in addition to improving product quality and diversifying product designs, the company has also developed many business plans to limit the impact of market fluctuations.
According to businesses, recently, many large suppliers and trading floors in the US and around the world are also shifting to Vietnam to place orders. This proves that Vietnam is a reputable supplier and manufacturer, especially for the US market if it continues to maintain and comply with regulations on labor laws, origin, etc. In addition, with the advantage of mid- to high-end products, plus the fact that the US is looking to reduce its dependence on China, Vietnamese businesses can completely increase their market share in this market.
With specific measures in market research, improving the quality of export products, and proactive plans in production and business, it is hoped that businesses will respond well to fluctuations in the international market and maintain their export market share.
Source: https://baotuyenquang.com.vn/chu-dong-ung-pho-voi-bien-dong-toan-cau-207247.html
Comment (0)