Thai steelmakers wary of dumping of cheap Russian steel products

Thai steelmakers are worried that cheap steel products from Russia will flood Thai and ASEAN markets after Russia was sanctioned over the Russia-Ukraine war. As Russian steel exports are banned from European markets, Russia is looking for new buyers, and China has also made purchases. The chairman of the EAF Long Steel Producers Association said that due to the decline in steel consumption in China, a large amount of steel products will be shipped from China to other countries. If cheap steel products are dumped into the Thai market, domestic steel prices will plummet. Domestic steelmakers are keeping a close eye on cheap steel exports from China. Vietnam may also be dumping products in Thailand. The association expects China's steel exports to reach 66.4 million tonnes this year, unchanged from last year. The Thai government should monitor the steel trade and find ways to help local producers. Steel production from the Philippines, Indonesia, Malaysia and Vietnam is expected to be 75.3 million tonnes and should protect the ASEAN market from cheap steel products from China and Russia. In 2022, Thailand's steel consumption will fall by 12% year-on-year, from 18.6 million tons in 2021 to 16.3 million tons. The Board of Investment of Thailand last year approved 12 steel investment projects worth about 5 billion baht, according to the Thai Iron and Steel Association. Government infrastructure development projects in the Eastern Economic Corridor (EEC) as well as investments in the real estate sector are expected to increase steel use in 2023.