Data from the Vietnam Steel Association (VSA) shows that the production of steel billets increased 40-fold to exceed 12 million tonnes in 2015, compared to just 300,000 tonnes in 2000.

Meanwhile, the production of finished steel products reached over 26 million tons in 2015, increasing tenfold since 2000.

Product diversification is also helping the Vietnamese steel sector to make great strides in the region and play a larger role in the international arena.

The country will switch to electric arc furnaces from current blast furnaces, according to steel expert Nguyen Van Sua.

Another point to note in the development of domestic steel is the scale of the projects. Since 2004, world-class projects have been built by companies such as Hung Nghiep Formosa Ha Tinh and the Hoa Phat Group.

The deputy director of the Hoa Phat Dung Quat integrated complex, Dinh Van Chung, said its hot rolled coil (HRC) is in constant demand.

Hoa Phat will invest in another project with a capacity of 5 million tonnes per year at Dung Quat by early 2022, which will be mainly involved in HRC production and use modern technology, he added.

Vietnam is likely to develop special steel in the coming times.

VSA Chairman Nghiem Xuan Da stressed that steel companies should closely monitor the market and strengthen their competitive advantage to make rapid adjustments and support their long-term development.

The State must also design strategies adapted to the sector, to encourage companies to invest more in technology.