Taiwan’s finished steel exports in May ’21 witnessed a surge across all products both on a monthly and annual basis over strong revival in the steel market along with robust downstream demand.
1. Finished flats: Taiwan’s mills’ finished flats exports were up 19% m-o-m to 8,58,583 tonnes (t) in May ’21 as against 7,22,448 t a month ago.
Similarly, on an annualised basis, exports moved up by 32% against 6,48,660 t in May ’20.
Country-wise exports
Exports to China stood at 1,05,820 t, up by 40% m-o-m as against 75,752 t in Apr ’21.
Exports to Vietnam stood at 1,08,103 t (up by 25%), and to Japan at 76,758 t (up by 13%).
Exports to Malaysia were at 79,092 t (up by 26%) and to the US at 74,361 t (up by 34%) on a monthly basis.
2. Finished longs: Longs export volumes stood at 60,311 t in May ’21 as against 56,342 t in the previous month, up by 7% m-o-m and 30% y-o-y.
Export volumes in May ’20 stood at 46,547 t.
Country-wise exports
Taiwanese mills exported 13,753 t to Australia, marginally up by 1% m-o-m as against 13,631 t in Apr ’21.
Further, exports to Thailand and China rose by 93% and 44% respectively, but export volumes to Hong Kong declined by 30% m-o-m to 4,549 t in contrast with 6,539 t a month ago.
3. Finished flat stainless steel: The export volumes moved up by 8% m-o-m to 88,475 t in May ’21 in contrast to 82,051 t last month.
Likewise, on a yearly basis, export volumes surged by 43% against 61,723 t in May ’20.
Country-wise exports
Taiwanese steel producers raised their exports to Belgium and the US by 24% and 23% m-o-m to 14,289 t and 10,410 t respectively.
However, export volumes to Italy stood at 9.977 t (down by 25%), to Turkey at 2,813 t (down by 50%), followed by Canada at 3,041 t (down by 13%).
Factors driving exports
1. Disruption due to resurfacing Covid-19: The domestic market reeled under the pressure of the resurfacing Covid-19 contagion by mid-May ’21. The government urged citizens to work from home which weighed on the outdoor construction and infrastructure industry, leading to a slump in demand. Also, the automotive segment too was hit by this alongside a global chip shortage.
2. Robust downstream demand: Taiwan’s new vehicle registration in May ’21 stood at 34,403 units, up by 3% y-o-y as against 33,528 units registered in the corresponding period last year. On the other hand, on a monthly basis, new vehicle registration fell by a huge 9% m-o-m against 37,901 units in Apr ’21, as per data from the Directorate of Highways, Taiwan.
During Jan-May, new vehicle registrations aggregated 1,93,879 units.
CSC reports surge in monthly carbon steel sales in May ’21: China Steel Corporation (CSC), a leading steel producer in Taiwan, reported 2% (m-o-m) increase in its monthly carbon steel sales to 822,458 t in contrast with 803,315 t sold a month ago, as per the data released by the company yesterday. The rise in sales volumes is backed by strong recovery in the steel market.
Further, the accumulative sales during Jan-May ’21 stands at 4,115,917 t.
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