Vietnam’s steel industry is rising at an astonishing pace, now ranked as the 12th largest crude steel producer in the world. Today, the Ministry of Industry and Trade of Vietnam released the latest draft of the ‘2030 Steel Industry Development Strategy,’ outlining a grand blueprint for the nation’s steel sector. Our reporter has conducted an in-depth analysis of this strategic document and interviewed industry experts to provide you with insights into the current status and future of Vietnam’s steel industry.
Leapfrog Development of Vietnam’s Steel Industry
According to the latest data from the Ministry of Industry and Trade of Vietnam, Vietnam’s steel production is expected to surpass 30 million tons in 2024, nearly a 200% increase compared to seven years ago. This remarkable growth rate distinguishes Vietnam in the Southeast Asian steel industry, far exceeding neighboring countries such as Thailand and Indonesia.
Industry experts point out that Vietnam’s rapid rise is attributed to a series of robust industrial policies. The ‘2011-2020 Industrial Development Strategy of Vietnam’ identified steel as a key industry for development, setting a clear direction for the sector’s growth. Subsequent strategies, such as the ‘2018-2025 Foreign Investment Attraction Strategy,’ have attracted major projects like Formosa Ha Tinh Steel, significantly boosting Vietnam’s steel production capacity.
Towards a Sustainable Steel Industry
The newly released draft of the ‘2030 Steel Industry Development Strategy’ highlights green development as a core focus. The strategy explicitly states that Vietnam will vigorously promote green and energy-efficient steel, increase the proportion of high-end products, and achieve industrial upgrading.
Nguyen Ngoc Ly, Deputy Minister of Industry and Trade of Vietnam (translated name), emphasized in an interview with our newspaper: “Our goal is not just to increase output, but also to enhance quality and efficiency. Through the implementation of the ‘2021-2030 National Green Growth Strategy,’ we will encourage steel enterprises to adopt clean production technologies and develop a circular economy.”
The Future Path of Vietnam’s Steel Industry
Tran Duc Thanh, Chairman of the Vietnam Steel Association (translated name), revealed to our newspaper that by 2030, the market demand for manufacturing in Vietnam is expected to reach $310 billion, providing ample opportunities for the steel industry. The government is actively promoting an increase in the market share of domestically produced steel, gradually replacing imports and increasing self-sufficiency in high-end steel.
However, Tran Duc Thanh also acknowledged the challenges facing the industry: “Dependence on raw materials, environmental protection pressures, and international competition are issues that need to be addressed. We are working closely with the government to tackle these challenges through technological innovation and talent development.”
The Rise of a Regional Steel Hub
The rapid development of Vietnam’s steel industry not only reflects the country’s industrialization process but also serves as a microcosm of the industrial upgrading in Southeast Asia. With proactive policy guidance and strong market demand, Vietnam is expected to become a key steel supply center in the region within the next decade, contributing to the overall enhancement of manufacturing in Southeast Asia.
However, achieving this ambitious goal requires concerted efforts from the government, enterprises, and all sectors of society. The development path of Vietnam’s steel industry will serve as an important window to observe the rise of emerging industrial nations in Southeast Asia.
Key Points of the News:
- Vietnam has become the 12th largest crude steel producer in the world, with production expected to reach 30 million tons by 2024.
- The draft of the ‘2030 Steel Industry Development Strategy’ focuses on green energy-efficient steel and high-end products.
- Several government policies are driving industrial upgrades, including technological innovation, talent development, and international cooperation.
- Manufacturing demand is expected to reach $310 billion by 2030, providing a huge market for the steel industry.
- Vietnam is committed to increasing the market share of domestically produced steel while facing challenges such as dependence on raw materials.
