Recorded on February 25, some construction steel enterprises raised steel prices by 150,000 – 210,000 VND/ton with CB240 coil, bringing the price up to about 15.7 – 16 million VND/ton. There are also steel brands whose selling price exceeds 17 million VND/ton.

Specifically, compared with the adjustment on 7.2, Pomina steel trader in the Central region adjusted sharply with a rate of 1.05 million VND/ton for CB240 coil to a selling price of 17.57 million VND/ton; D10 CB300 rebar increased by 1.02 million dong/ton, to 17.6 million dong/ton.

Hoa Phat Steel in the North and Central region raised the selling price to 200,000 VND/ton for CB240 coil; steel prices in both places are at 15.96 million dong/ton and 15.88 million dong/ton, respectively.

In the South, Hoa Phat steel increased by 150,000 VND/ton with CB240 coil to 15.98 million VND/ton.

Similarly, many other steel brands also raised their selling prices. Specifically, Vietnam Italy Steel also raised 200,000 VND/ton with the CB240 coil line to 15.91 million VND/ton.

Viet Duc Steel also increased the selling price of the CB240 coil to 15.71 million VND/ton, an increase of 210,000 VND/ton.

CB240 steel coil of Viet Sing steel also increased by 200,000 VND/ton to 15.83 million VND/ton…

Recorded from the beginning of the year until now, the price of the CB240 coil has been adjusted five times up. And its increase depends on the steel brand.

Statistics of the Vietnam Steel Association (VSA) show that the recent average domestic steel price is increasing by about 5% compared to the end of 2022 but still lower than the same period in 2022 by about 8%.

Regarding the reason for the price increase, according to VSA, it is due to the gain in input materials, causing domestic factories to increase selling prices to compensate for production costs and reduce losses. However, the selling price of finished steel increased slower than the growth rate of input materials, so the business efficiency of steel companies was not high.

Mr. Nguyen Quoc Hiep, Chairman of the Vietnam Association of Construction Contractors, is concerned that the continuous increase in construction steel prices will affect the construction cost of work, creating direct pressure on construction contractors. If the project investor does not agree to renegotiate the construction price, the risk of loss of profit or even loss will occur.

According to Mr. Hiep, in the context of the price of construction materials having many complicated fluctuations from the beginning of 2022 until now and showing no signs of being more stable, many contractors face difficulties.

In addition, the real estate market is quiet and few new projects have been started, causing a sharp decrease in the source of employment. Construction contractors are at risk in terms of price fluctuations and job competition.

Not to mention, with projects using budget capital, the contractor has an additional risk of norms and unit prices as prescribed, not being properly and sufficiently updated by local management agencies according to market developments.

Source: Thanh Nien Newspaper