Vietnam News Service reported that domestic steel pipes producers are hoping to increase exports of steel pipes with a diameter of less than 10 inches to the US, saying the market offers great potential due to high demand and low supply.
Industry insiders said that demand for steel pipes in the US was huge, with not many countries and territories, including Taiwan, mainland China and Viet Nam, manufacturing the product. With an export turnover of more than USD 2.7 billion of steel pipes, also known as oil industry tubular goods and often used in oil wells, to the US in 2008, China has been among the US’s largest steel pipe suppliers.
However, the US Department of Commerce’s recent decision to impose anti dumping duties ranging from 10.36% to 15.78% on Chinese exports of steel pipes is expected to leave the Chinese less competitive.
Mr Le Vinh Son director of the Son Ha International Joint Stock Co said that his company would seize the chance and expect to export roughly 2,000 tonnes of steel pipes monthly to the US during the next two years.
Mr Nguyen Tien Nghi VC of Viet Nam Steel Association said that Hoa Phat, Viet Duc and SeAH Steel were among Vietnamese companies currently manufacturing steel pipes. The latter two began exporting steel pipes to the US late last year, with annual export revenue totaling several million dollars.
However, authorities also warned domestic steel pipe producers that Viet Nam was also among six countries which faced complaints from US steel pipe producers over alleged dumping.
US trade authorities have yet to investigate steel pipes imported from Viet Nam, as total steel pipe imports from Viet Nam make up only 2.55% of the US steel market. According to US rules, if the percentage abruptly climbed to 3%, they would launch an anti dumping probe.
But sources from steel pipe manufacturers believe that Viet Nam’s steel pipe exports to such a huge market as the US would be extremely unlikely to break the 3% threshold.