- 304 prices rise for seventh consecutive month
- Higher nickel, scrap, power costs support hike
Taiwanese stainless steel producer Yieh United Steel Corporation (Yusco) announced higher domestic stainless steel prices for June deliveries, citing continued pressure from rising raw material and manufacturing costs.
The company increased 304-grade hot rolled and cold rolled stainless steel prices by TWD 2,000/t, marking the seventh consecutive monthly price hike. Meanwhile, the surcharge for 316L-grade stainless steel was raised by TWD 6,000/t, while 430-grade prices were left unchanged.
Market participants noted that elevated nickel-related raw material costs continued to support stainless steel pricing sentiment across Asia. Indonesian nickel ore mining restrictions have kept nickel pig iron (NPI) prices firm, while London Metal Exchange (LME) nickel prices also remained at elevated levels during the month.
At the same time, global stainless steel scrap prices strengthened further, adding additional cost pressure on regional stainless steel producers. Taiwan’s seasonal summer electricity tariff adjustments also increased domestic production costs for mills.
On the demand side, improving downstream buying sentiment and inventory restocking activity supported the latest price increase. Market participants also highlighted that ongoing stainless steel production cuts in China and Indonesia have helped stabilise overall Asian stainless steel supply conditions.
Outlook
Asian stainless steel prices are expected to remain firm in the near term amid elevated nickel, scrap, and energy costs. However, downstream demand recovery and restocking activity will remain critical for sustaining further price increases across regional markets.
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