Posted on 17 Apr 2025
Hoa Phat Group (HPG), a leading steelmakerin Vietnam, reported on-year increases in both its crude steel output and sales during this year's January-March quarter, according to the Hanoi-based group's release on April 14.
In the first three months, HPG's crude steel production jumped by 25% on year to reach 2.66 million tonnes, while its sales volume of construction steel, hot-rolled coil, and steel billets totaled 2.38 million tonnes, up 29% on year.
The significant growth was mainly driven by favorable weather conditions in Q1 which supported construction activities. Meanwhile, the Vietnamese government has boosted public investment in infrastructure projects such as expressways and airports, resulting in a rise in steel consumption seen in Q1, the HPG release noted.
Sales volume of HPG's major steel products in Q1
Product | Sales volume | YoY |
Construction steel and | 1,190 | 25 |
Hot-rolled coil | 993 | 23 |
Steel pipe | 185 | 42 |
Galvanized stee | 89 | -9 |
Prestressed steel | 38.5 | 7 |
Billet | 198 | 128 |
Total | 2,693 | 27 |
Source: HPG
Looking ahead, HPG aims to "significantly increase" the production of high-tensile steel products, such as tire cord and bead wire, cold-formed steel, and rolled steel bars used in processing and manufacturing industries.
The steel giant also mentioned in the release that construction of facilities at its Dung Quat II Iron and Steel Complex project is progressing on schedule and that the expansion is expected to be fully completed by Q4 of this year.
The Hoa Phat Dung Quat II project, which boasts a design capacity of 5.6 million tonnes/year of HRC, will lift HPG's total crude steel capacity from the current 8.5 million t/y to more than 14.5 million t/y, as Mysteel Global reported.
Upon completion of Dung Quat II, HPG will become the largest steelmaker in Southeast Asia and rank among the top 30 steel producers worldwide, the company says. Hoa Phat remains the only Vietnamese-owned and managed enterprise capable of producing HRC, according to the release.
Source:Mysteel Global
