Inventories of finished steel products in Vietnam plunged by 16.6 percent to 330,000 tons in January 2013, compared to the same period last year, Vietnam's state-run news agency VNA reported on Tuesday.

The country's steel production in January totaled 360,000 tons, a decline of 36,000 tons, or 9 percent, over last year's December but an increase of 75,000 tons (26 percent) year-on-year, said VNA, citing the source from the Vietnam Steel Association.

Domestic steel consumption in January posted 360,000 tons, 54 percent over the same period last year.

The country also imported 600,000 tons of steel in January, representing a month-on-month decrease, according to the association.

The steel industry has set a modest growth target of 2 to 3 percent this year in the face of uncertain economic situations domestically and internationally, said Pham Chi Cuong, chairman of the association.