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Shimoga MP Demands Revival of SAIL VISL

Deccan Herald reported that Shimoga MP B Y Raghavendra urged the Centre to drop the disinvestment proposal of Visvesvaraya Iron and Steel Plant, Bhadravathi, and infuse funds for its revival. Raising the issue during Zero Hour in the LokSabha, he demanded that the Centre provide job security to present workers, including contract employees, in the factory.

He also urged the Steel Ministry to take steps to renovate or replace the blast furance, sinter plant and other machinery, in order to start complete production activity.
The VISL is worth reviving as it was a pioneer in the production of alloy steels and pig iron and has 1,500 acres of land, including a huge township, Raghavendra said.
MECON Limited has already prepared the turnaround plan of VISL and the Karnataka government released mines to the factory in 2018, he said.

Source : Deccan Herald
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Arcelor verhuist meer mensen rond dam Brazilië

Gepubliceerd op 4 jul 2019 om 17:04 | Views: 182

ArcelorMittal 17:01
15,59 +0,13 (+0,87%)

RIO DE JANEIRO (AFN/BLOOMBERG) - ArcelorMittal heeft de veiligheidscirkel rondom een dam van een ijzerertsmijn van het staalconcern in Brazilië vergroot. Daardoor moeten in totaal zo'n dertig families extra verhuizen.

Begin februari werd een leefgemeenschap van 200 personen geëvacueerd rondom een dam bij de mijn Serra Azul in de staat Minas Gerais. Daarna is de situatie scherp in de gaten gehouden, onder meer met videocamera's, radarapparatuur, seismische monitoringssystemen en drones. Uit veiligheidsoverwegingen is het gebied dat geraakt wordt mocht de dam bezwijken, nu vergroot.

In januari bezweek nog een dam bij een ijzerertsmijn van de Braziliaanse mijnbouwer Vale. Een enorme stroom modder en afval bedolf delen van het terrein en naburige wooncomplexen in de buurt van Brumadinho, eveneens in de staat Minas Gerais. Daarbij vielen veel doden. De Braziliaanse autoriteiten houden nu scherper toezicht op mijnbouwers.
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Staalsector weet aandacht op zich gericht

Gepubliceerd op 5 jul 2019 om 08:33 | Views: 455

ArcelorMittal 04 jul
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AMSTERDAM (AFN) - De Europese mijnbouw- en staalsector weet vrijdag de aandacht op zich gericht. Aanleiding is de scherpe daling van de prijs van ijzererts, nadat de Chinese staalindustrievereniging opriep tot een onderzoek naar de rally die de ijzerertsprijs de afgelopen tijd beleefde.

Brancheorganisatie China Iron & Steel Association riep de Chinese overheid op om "orde" op de ijzerertsmarkt te handhaven, nadat de prijs aandikte tot het hoogste niveau in vijf jaar tijd. Toen dat bekend werd zakte de prijs van ijzererts fors.

Kenners wijzen er op dat mijnbouwbedrijven die flink actief zijn op het vlak van ijzererts, waaronder Rio Tinto, BHP Billiton, Anglo American en Ferrexpo in de gaten gehouden moeten worden. Ook koersen van bedrijven uit de staalsector, waar het in Amsterdam genoteerde ArcelorMittal onderdeel van uitmaakt, kunnen in beweging komen.
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Prijs ijzererts flink gedaald na opmars

Gepubliceerd op 5 jul 2019 om 08:30 | Views: 676

SINGAPORE/PEKING (AFN/BLOOMBERG) - De prijs van ijzererts ging vrijdag flink omlaag op de termijnmarkt in Singapore. De prijs kwam onder druk te staan na een oproep door de Chinese staalbranchevereniging aan de Chinese overheid om "de orde" op de ijzerertsmarkt te handhaven.

De prijs van een ton ijzererts zakte met wel 6,2 procent, tot ruim 107 dollar. Maandag werd nog het hoogste niveau in vijf jaar tijd bereikt, mede door slecht weer in Australië waardoor leveringen van ijzererts aan China werden verstoord. Branchevereniging China Iron & Steel Association zei dat de prijzen te sterk zijn opgelopen en ziet graag dat die weer op "redelijke" niveaus terugkeren. Er is gevraagd om een onderzoek naar de rally die de ijzerertsprijs de afgelopen tijd beleefde.

Volgens de industriegroep zijn er inmiddels geen aanbodproblemen meer bij ijzererts, omdat de productie in Brazilië weer herstellende is na een dambreuk bij een mijn eerder dit jaar en de Chinese binnenlandse productie groeit. Mogelijk kan er in de tweede helft overaanbod optreden door een afzwakkende staalproductie in China, aldus de brancheorganisatie.
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'Maatregel gaat fabriek Arcelor beschermen'

Gepubliceerd op 5 jul 2019 om 08:53 | Views: 247

TARENTE (AFN/BLOOMBERG) - Het Italiaanse ministerie van Financiën broedt op een maatregel waardoor de grootste staalfabriek van Europa, in het Zuid-Italiaanse Tarente, niet stilgelegd hoeft te worden. Dat meldt de krant Il Sole 24 ore.

Het stilleggen dreigt juist door een besluit van de regering voor strengere milieuregels. Volgens fabriekseigenaar ArcelorMittal zou het hierdoor onmogelijk zijn om de fabriek na 6 september in bedrijf te houden. Er wordt wel gewerkt aan het schoner maken van de vervuilende locatie, maar dat zou pas in 2023 klaar zijn. Het aan de beurs in Amsterdam genoteerde staalconcern ArcelorMittal kocht de fabriek vorig jaar nog voor 1,8 miljard euro van de Italiaanse staat.

De fabriek in Tarente veroorzaakt al jaren problemen. Daarom waren er met ArcelorMittal afspraken gemaakt over wettelijke bescherming bij milieuschade door de hoogovens. Tot de modernisering is afgerond mocht de fabriek alleen blijven draaien omdat de overheid het bedrijf wettelijk beschermde tegen aansprakelijkheid voor de giftige uitstoot. Maar de strengere milieuregels zetten een streep door die afspraken.
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India Starts Anti Dumping Probe on Imports of Stainless Steel Flats

India’s Directorate General of Trade Remedies on July 3rd has initiated anti dumping investigation on imports of flat products of stainless steel from China PR, Korea RP, European Union, Japan, Taiwan, Indonesia, USA, Thailand, South Africa, UAE, Hong Kong, Singapore, Mexico, Vietnam and Malaysia on complaint filed by Indian Stainless Steel Development Association, Jindal Stainless Limited, Jindal Stainless (Hisar) Limited and Jindal Stainless Steelway Limited.
The product under consideration in the present application is “Flat Rolled Products of Stainless Steel”, excluding the following

a. Hot rolled stainless steel of 304 grade and width upto 1650mm from China, Malaysia and Korea, wherein anti-dumping duty was recommended vide notification no 14/30/2013-DGAD, dated 9th March, 2015 and imposed vide customs notification no. 28/2015-Customs (ADD) dated 5th June, 2015

b. Cold rolled stainless steel of 600 mm and above (with permissible tolerances) from China, Korea, EU, USA, Taiwan, Thailand, South Africa, except cold rolled stainless steel of more than 1250 mm having bonafide use as more than 1250 mm, wherein anti-dumping duty was recommended and imposed vide customs notification no. No. 14/2010-Customs, dated 20th February, 2010. The said duties were recommended to be extended vide notification no. 5/04/2014-DGAD, dated the 12th October, 2015 and were extended vide customs notification no 61/2015- Customs (ADD) dated 11th December 2015.

c. Blade Steel, also commercially known as razor blade grade steel used in production of razor.

d. Coin blank falling under 73269099 HS Code used in production of monetary coins.

The scope of the product under consideration includes cold rolled stainless steel of more than 1250 mm having bonafide use as more than 1250 mm, which were expressly excluded from the scope of measures recommended vide notification no No.14/1/2014- DGAD, dated the 19th February, 2016 and imposed vide customs notification no 52/2017-Customs (ADD) dated 24th October, 2017.

The product under consideration is classified in Chapter 72 under customs subheading no. 7219 and 7220 of the Customs Tariff Act, 1975. All forms and specifications of the product under consideration falling under 7219 and 7220, unless specifically excluded, are within the scope of the present investigations.

The applicants have proposed adoption of a product control number for the purpose of fair comparison between different types/forms of the product. Applicants have proposed the PCN system on the basis of rolling condition, grade, form of the product, width, thickness and finish, considering Indian standards.

The Period of Investigation in the present investigation is April 2018 to March 2019. The injury investigation period shall cover the periods 2015-16, 2016-17, 2017-18 and the period of investigation.

Source : STRATEGIC RESEARCH INSTITUTE
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EC Clears Acquisition of Standard Steel Holdings Inc US by Sumitomo and Nippon Steel

The European Commission has approved, under the EU Merger Regulation, the acquisition of joint control of Standard Steel Holdings Inc of the US by Sumitomo Corporation of Japan and Nippon Steel Corporation of Japan, which currently solely controls Standard Steel. Standard Steel manufactures forged steel wheels and axles for freight railcars, locomotives and passenger railcars, and operates primarily in North America.

The Commission concluded that the proposed acquisition would raise no competition concerns because Standard Steel is primarily active in North America and its activities and turnover in the European Economic Area are very limited. The transaction was examined under the simplified merger review procedure.

Source : STRATEGIC RESEARCH INSTITUTE
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Tata Steel Kalinganagar Joins the World Economic Forum's Global Lighthouse Network

Tata Steel Kalinganagar has been included in the list of the World Economic Forum’s Global Lighthouse Network, a community of manufacturers that are showing leadership in applying Fourth Industrial Revolution technologies to drive financial and operational impact. Tata Steel Kalinganagar is the first and the only Indian manufacturing plant to be included in the WEF’s Lighthouse Network. On July 3, 2019, the WEF announced the addition of 10 new factories, including Tata Steel Kalinganagar, to its Global Lighthouse Network.

The factories join a network of 16 existing lighthouses across multiple geographies and industries. They serve as beacons to guide others to overcome challenges in upgrading systems and applying cutting-edge technologies such as artificial intelligence, big data analytics and 3D printing. The factories were selected based on their success in integrating these technologies to increase efficiency and drive innovation. Tata Steel’s IJmuiden plant at Netherlands is already a member of this network.

Source : Strategic Research Institute
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JSW Steel Announces New ESOP Samruddhi Plan 2019

Business Line reported that JSW Steel plans to facilitate share purchase of about INR 420 crore from the secondary market as part of a new employees stock option plan. The company has chalked out a new voluntary stock option, Samruddhi Plan 2019, for its 12,000 staff members. As part of the plan, the company has formed JSW Steel Employees Welfare Trust that will acquire 12,497,000 equity shares, representing 0.517 per cent of the issued equity share capital of the company from the secondary market. Each eligible employees in the grade of L01-L15, excluding the promoter group, would be allotted 1,000-2,000 shares depending on their work performance and number of years of service in the company. Once accepted by the employee, the Trust will facilitate them to get bank loan for purchase of the shares which will be credited into their demat account. The purchased shares will have a lock-in period of two years.

JSW Steel will bear 75 per cent of the interest cost on the loan availed by the employees to purchase the shares. The shares will be priced at the market rate as on the purchase date.

Source : Business Line
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No Job Losses at Dudelange & Liege Sites - Report

RTL reported that employees at the former ArcelorMittal site in Dudelange have been waiting around 12 months for further clarity concerning their job security whilst ArcelorMittal and Liberty Steel completed the sale of the steelworks site. Now that the deal has been completed, the new designated Chief Executive of the Dudelange and Liège sites, Mr Frederic Tancrez, spoke to RTL about the group's plans for the sites. Mr Tancrez confirmed that “Over the short term, nothing would change for employees. Within the next 100 days, the group would complete an audit to determine the potential and opportunities linked to new projects. Above all, Tancrez highlighted that he views both sites as a business unit.”

Mr Tancrez explained that the opportunities for the Dudelange site are significant: the business can create products that cannot be produced elsewhere at the Dudelange site. This in turn could allow the site to create contracts with new clients and continue to grow. A potential two million tonnes of steel could be produced at both the Dudelange and Liège sites in the future.

Mr Tancrez has spent 30 years working at the former ArcelorMittal steelwork in Liège, having also joined ArcelorMittal Belgium's management committee. The new Chief Executive will be in Luxembourg once a week to ensure the further development of both sites' synergies.

Source : RTL
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US Files Complaint against Imposition of Tariffs to WTO

The United States has filed a complaint with the World Trade Organisation in regards to Indian retaliatory tariffs against US steel and aluminium levies imposed by Washington last year.

The United States imposed 25 per cent and 10 per cent tariffs on imported steel and aluminium, respectively, in March 2018. As one of the largest steel producers in the world, India immediately condemned the move. However, India's retaliatory duties were postponed six times, in view of the trade dialogue between the two countries.

This June, India eventually slapped tariffs on as many as 28 US products in retaliation to high tariffs on imported steel and aluminium imposed by Washington.

Source : Strategic Research Institute
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MMK Introduces Digital Solution to Track Car Availability

At two plate-rolling workshops of Magnitogorsk Iron and Steel Works a new digital system has been put in place for monitoring the number of cars that are in commercial operation. The system will allow for rapid identification of violations during work with rolling stock and significantly improve the efficiency of shipment unloading.

In the workshops, video surveillance equipment, software and hardware to recognize the car number, a system to determine the direction of the cars, and the number of cargo inside the cars has been installed. The new system is integrated with automated systems of the enterprise.

Source : Strategic Research Institute
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India’s Steel Production to Hit 128.6 Million Tonne by 2021 - Economic Survey

PTI reported that Economic Survey 2018-19 has estimated India's steel output to hit 128.6 million tonne by 2021 and reach 140 million tonne by 2023, on the back of investments in infrastructure, construction and automobile sectors. It said "With huge investments in infrastructure, construction and automobile sector, steel demand and corresponding consumption is growing at an average of 7.4 per cent. This will lead steel production to go up to 255 million tonnes by 2030 and per capita steel consumption to 160 kg.”

Crude steel production in 2018-19 stood at 106.56 million tonne, a growth 3.3 per cent over 103.13 million tonne in 2017-18

Currently, India's per-capita consumption stands at only 69 kg, compared with the global average of 214 kg

Under the National Steel Policy 2017, the government aims to ramp up steel-making capacity to 300 million tonnes, while production at 255 million tonnes and consumption to 160 kg by 2030.

Source : PTI
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Chinese Steel Mill Establish iron Ore Working Group

SMM reported that 7 Chinese steelmakers plan to establish an iron ore working team to study major issues, monitor market development, help resolve seaborne iron ore-related problems, and propose suggestions to government authorities. Iron ore market symposium, held on June 27, was chaired by China Iron and Steel Association vice president Qu Xiuli and was attended by CISA deputy secretary general Wang Yingsheng, market researchers and members from Baowu, Angang, Shougang, Shagang, Magang, Valin and Laigang. The working group is expected to ask central authorities to inspect the market and invite futures and derivatives experts as well as traders to develop measures to steady the market.

The minutes also reflected concerns about overcapacity. Fixed-asset investment in ferrous metal smelting and rolling processing industry expanded 30.6% in the first quarter.

Foreign miners are advised to adopt various pricing indices and continue to improve pricing mechanism for long-term contracts with Chinese steelmakers, according to the minutes.

Source : SMM
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NCLAT Approves ArcelorMittal Resolution Plan for Essar Steel

The National Company Law Appellate Tribunal has approved ArcelorMittal’s INR 42,000 crore bid for the acquisition of Essar Steel. However, it gave operational creditors equal status as lenders in the distribution of the ArcelorMittal’s bid amount among the creditors of Essar Steel. NCLAT said financial creditors will get 60.7 per cent of their admitted claims of INR 49,473 crore. The rest would go to operational creditors. Operational Creditors with admitted claim amount less than INR one crore would get 100 per cent, while above one crore would get 60.26 per cent. Workmen and employees would get 100 per cent.

NCLAT asked the committee of creditors to take the help of a reputed chartered accountant firm or legal firm to calculate the exact amount to be distributed among each operational creditor.

A two-judge NCLAT bench headed by Justice S J Mukhopadhaya in the 116 page order said that “Supreme Court had already settled the issue and the same cannot be re-agitated again and again. Any such attempt is clearly barred by the principles of res judicata. Therefore, the Application preferred by the Appellant Mr. Prashant Ruia and Intervenor Essar Steel Asia Holdings Limited deserves to be rejected.”

The NCLAT also observed that this matter was related to insolvency of Essar Steel India and is not related to Odisha Slurry Pipeline Infrastructure Limited, a concerned raised by Standard Chartered Bank and others during the hearing.

A spokesperson for ArcelorMittal said “We note today’s ruling by the NCLAT. We need to review the full written order to understand any implications on completion of the transaction.”

An Essar Steel spokesperson said “It appears that new facts regarding ineligibility under Section 29A which emerged only after the previous judgement of the Supreme Court, have not been given due consideration. We are awaiting the detailed order and decide our course of action thereafter.”

Source : Strategic Research Institute
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Essar Steel NCLAT Ruling - A Shocker For Banks

CNBC TV18 reported that the National Company Law Appellate Tribunal decision of giving operational creditors equal status as financial creditors in the distribution of the ArcelorMittal’s bid amount among the creditors of Essar Steel, has come as a setback for the bankers. Financial creditors, barring StanChart, were hoping to recover INR 40,987.70 crore as per the plan approved by the CoC, will now get INR 30,030 crore. The winners are the operational creditors, who were allotted INR 1,196 crore as per the CoC approved plan but will now be given INR 11,969 crore.

A State Bank of India official confirmed to CNBC-TV18 that the lender's consortium would be moving the Supreme Court against the NCLAT verdict at the earliest.

Zie pdf voor cijfers:

Source : CNBC TV18
Bijlage:
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Ezz Steel reports wider Q1 loss

Reuters reported that Egypt’s Ezz Steel one of the biggest steel producers in the MENA region, reported a wider YoY loss in first quarter standalone earnings for 2019. The company’s Q1 2019 standalone net loss after tax amounted to 369 million Egyptian pounds as compared to a net loss of 187 million pounds for Q1 2018.

Ezz Steel’s standalone sales stood at 2 billion pounds in Q1 2019, a 3.63% increase compared to the 1.93 billion pounds recorded in Q1 2018.

Ms Lina Hisham, associate vice-president at Naeem Brokerage, told Zawya that “Further interest rate cuts could unwind a bit on the company leverage, given that approximately each 100 bps (basis points) cut in interest rates translates to about EGP200-EGP250 million cut in interest expense.”

According to the Central Bank of Egypt’s website, the monetary policy committee kept the deposit rate, overnight lending rate and the rate of the main operation unchanged at 15.75%, 16.75%, and 16.25% respectively at its last meeting in May 2019.

Ms Hisham added that “Also, if ESRS could find any way to raise its stake in EZDK (Al Ezz Dekheila Steel) that would be positive for ESRS’s shareholders.”

Source : Zawya
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Nigeria Steel Manufacturers Threaten To Sack 20,000 Workers

PUNCH reported that Galvanised Iron and Steel Manufacturers’ Association has threatened to sack 20,000 workers if the Standards Organisation of Nigeria and other government agencies fail to curb the importation of substandard galvanised roofing sheets into the country. GISMA said if the challenges confronting steel manufacturing in the country were not addressed in 30 days, its members might be forced to offload about 20, 000 workers into the labour market.

Spokesman for GISMA, Mr Lateef Bello, in the statement, urged SON to tighten the noose on importers of substandard galvanised roofing sheets in compliance with the Industrial Roadmap Revolution of the government.

Mr Bello noted that despite the presence of state coordinators nationwide, it was saddening that the country’s nooks and crannies were being flooded with substandard roofing sheet products. He said that “We are aware that the Standard Organisation of Nigeria held a press conference last week and unveiled its successful seizure of substandard aluminium sheets worth over N200m from various aluminium companies in Uyo.

He added that “SON in its address further confirmed that the minimum thickness of aluminium roofing sheets is 0.4mm. The substandard products with the quality of 0.25mm were, however, imported into Nigeria at the detriment of unsuspecting members of the public.”

Mr Bello added that “While we commend SON for the efforts made in the seizure of the goods, we are categorically requesting that names of perpetrators of such unpatriotic acts should be made public in order to reflect transparency and accountability. It is our expectation that SON should censor some of its officials suspected to be collaborating with smugglers of substandard products by mounting surveillance and detective operational techniques across its branches nationwide.”

He added that “Importation of substandard products is tantamount to waging war against the Federal Government’s policies of discouraging the supply of illicit items capable of causing havoc and short-changing the citizenry.”

Source : PUNCH
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Tata Steel Set to Raise USD 500 Million via Foreign Loans

TATA Steel is raising as much as USD 500 million through syndicated overseas loans to fund expansion and refinance debt said people with knowledge of the matter. Three-fourths of the amount will be used for the INR 23;500-crore: second-phase expansion of its Kalinganagar steel plant in Odisha that will raise capacity by 5 million tonnes per annum to 8 million tonnes per annum and the rest will go toward refinancing debt to save on interest costs amid falling rates.

Tata Steel chief financial officer Mr Koushik Chatterjee said that “This is part of the routine financing program as we look at market opportunities to diversify our debt portfolio. This will be within the overall target debt levels". But he didn’t elaborate on the sum that’s being raised.

The company is in talks with several foreign banks to raise the five to six year money. They include CitL Standard Chartered, First Abu Dhabi Bank, Credit Agricole Corp and BNP, sources said. The banks couldn’t be contacted immediately.

Source : Economic Times
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Imports of Finished Steel into US in H1 Dips 16% YoY – AISI

Based on the Commerce Department’s most recent Steel Import Monitoring and Analysis data, the American Iron and Steel Institute has reported that steel import permit applications for the month of June totaled 2,695,000 net tons. This was a 2.3% increase from the 2,633,000 permit tons recorded in May and a 30.7% increase from the May preliminary imports total of 2,062,000. Import permit tonnage for finished steel in June was 1,786,000, down 3.6% from the preliminary imports total of 1,853,000 in May. For the first six months of 2019 (including June SIMA permits and May preliminary imports), total and finished steel imports were 16,279,000 NT and 11,739,000 NT, down 9.0% and 16.2%, respectively, from the same period in 2018. The estimated finished steel import market share in June was 19% and is 21% year-to-date (YTD).

Finished steel imports with large increases in June permits vs. May preliminary imports included black plate (up 540%), pressure tubing (up 199%), steel piling (up 120%), tin plate (up 50%), tin free steel (up 48%), mechanical tubing (up 27%), line pipe (up 13%) and wire rods (up 10%). A product with a significant year-to-date (YTD) increase vs. the same period in 2018 was black plate (up 75%).

In June, the largest finished steel import permit applications for offshore countries were for South Korea (166,000 NT, down 43% from May preliminary), Japan (117,000 NT, down 5%), Germany (87,000 NT, up 36%), Taiwan (85,000 NT, up 5%) and Vietnam (65,000 NT, up 7%). Through the first six months of 2019, the largest offshore suppliers were South Korea (1,453,000 NT, down 17% from the same period last year), Japan (728,000 NT, down 2) and Germany (604,000 NT, down 9%).

Source : Strategic Research Institute
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