Vietnam’s Formosa Ha Tinh Steel Corporation (FHS) announced price hikes of its hot-rolled steel and wire rod for April, an increase of US$62/ton and US$50/ton, respectively, with delivery from March to April.

According to market participants, FHS’s price adjustment this time was reasonable because its price is lower than the current international market price by US$700/ton CFR.

Chaodong Weng, chairman of Taiwan’s China Steel Corporation (CSC), said that the second quarter is the traditional peak season, so an obvious recovery in the steel market is expected for the quarter.

Min Hsiung Liu, the Vice President of the Commercial Division, said that FHS’s new prices were in line with market expectations. It was an appropriate adjustment amid the current market of rising raw material prices and the Vietnamese market with gradually balanced supply and demand.

Regarding whether the wire rod price for the second quarter will follow FHS’ price hike, Chaodong Weng said CSC will discuss it in mid-March.