Vietnam Imposes Anti-Dumping Duties on Chinese Steel

Starting July 6, Vietnam’s Ministry of Industry and Trade has officially imposed anti-dumping duties of up to 27.83 percent on hot-rolled steel imports from China. The measure will be in effect for five years and comes after a temporary tariff expired, during which import volumes began to rise again.

The investigation found that Chinese hot-rolled steel had been sold in Vietnam at significantly lower prices than in the country of origin, causing serious harm to the domestic steel industry. Companies such as Baoshan Iron & Steel and Maanshan Iron & Steel were subjected to the highest tariff rate of 27.83 percent, while Guangxi Liuzhou Iron & Steel faced a 23.1 percent duty.

In the first nine months of last year, Vietnam imported about 8.8 million tons of hot-rolled steel, with more than 70 percent of that volume coming from China. Domestic producers like Hoa Phat, Formosa, and various small and medium-sized manufacturers have struggled to compete against the low-cost imports.

Hot-rolled steel is a vital input material for industries such as machinery, construction, shipbuilding, and automotive manufacturing. The newly implemented tariffs aim not only to protect domestic producers but also to provide space for local firms to invest in quality improvements and reduce dependency on external suppliers.

However, this decision also presents challenges for industries that rely on steel as a raw material. Companies will need to reassess their procurement strategies, renegotiate supply contracts, and consider diversifying their sources to other countries such as South Korea, Japan, or within ASEAN.

At the same time, this could serve as an opportunity for Vietnam’s steel industry to improve production standards, enhance sustainability in the supply chain, and gradually move away from reliance on low-cost imports.

Trade experts note that the use of trade defense measures like this is fully in line with WTO regulations, especially as global trade competition becomes increasingly complex.