Taiwan's stainless steel prices are expected to stop falling and remain stable in September due to four main reasons.

First, Indonesia may impose a 5% export tariff on nickel pig iron, and Tsingshan Holding Group is negotiating to sell part of its shares in integrated production lines at the Morowali Industrial Park in Indonesia, both of which have an annual capacity of 500,000 tonnes. This is expected to help address the oversupply in Indonesia's ferronickel production and curb price-undercutting competition caused by high production costs in China.

Second, current prices in Taiwan are narrowing the gap with those in Indonesia and China, making domestic downstream buyers in Taiwan more willing to restock.

Third, despite robust demand, buyers who had previously halted imports have begun rebuilding their inventories due to bottomed-out prices and stock levels.

Fourth, the New Taiwan dollar continues to depreciate against the US dollar, raising imported raw material costs for steelmakers.

In the first half of 2022, China's Shanxi Taigang Stainless Steel Co., Ltd. (STSS) produced 6.02 million tonnes of crude steel, of which 2.14 million tonnes was stainless steel.

STSS stated that China's coal and ferrochrome supply remained tight due to factors such as safety, environmental regulations, energy consumption, and dual-control intensity systems. Regarding nickel, the stainless steel industry faced challenges as Indonesian authorities tightened control over nickel ore.

In the second half of the year, the impact of China's stimulus policy remains uncertain. Steelmakers may face a new round of restructuring and integration over the next three to five years.

Recently, TISCO secured a project from a local Chinese mint to supply stainless steel strips for the production of South American coins. The first batch of finished products has been exported.

This marks the first time TISCO's coin products have been applied to South American coinage. The project involved strict product requirements across various aspects, including the manufacturing process, product parameters, measurement system, and steel strip quality. The products also had to pass rigorous testing.

Faced with a severe epidemic, TISCO's logistics center maintained tight tracking and worked diligently to ensure timely delivery.

LME nickel inventories have fallen by roughly 5,800 tonnes since July. The ongoing decline led to a recovery in nickel prices, which will help Taiwanese stainless steel mills gain more orders and consume their inventories.

Taiwan's leading stainless steel producers performed well in the first half of this year. Mills such as Tang Eng, Ta Chen, Yeou Yih, and Froch generated profits during this period.

According to the analysis, various steelmakers came under heavy pressure in the third quarter due to high inventories and weak demand. However, the industry is looking forward to seeing the steel market recover in the fourth quarter, driven by rising demand and rebounding prices.

İstatistiklere göre, Çin`in paslanmaz çelik üretimi bu yıl Temmuz ayında bir önceki aya göre %10,4 ve bir önceki yılın aynı ayına göre %18,8 düşüşle kabaca 2,37 milyon tonu buldu.

300 serisi paslanmaz çelik üretiminin %7 oranında toparlanması bekleniyordu, ancak 200 ve 400 serisi üretimi, zayıf tüketim nedeniyle önemli ölçüde artmayabilir. Tüketimin bu ay toparlanması bekleniyordu, ancak çok fazla devam etmeyebilir.

Alt işletmelerin faaliyet oranları ve ikmalleri yüksek sıcaklıktan etkilenecek, ancak talep temelde Temmuz ayına göre daha fazla olacak.

Ayrıca, stokların sindirilmesinin beklenenden daha yavaş olması, Çinli çelik üreticilerini üretimlerini daha fazla kesmeye zorlayacak.

During the period between August 5 and August 11, the two major stainless steel trading hubs in China, Wuxi and Foshan, saw their inventories drop by 3.4% week-on-week to approximately 619,000 tonnes. The decrease was mainly driven by a sharp drop in arrivals over the past week.

Additionally, maintenance and overhauls conducted at two stainless steel mills in southern China in early August also impacted shipment volumes to Foshan.

Stainless steel prices remain under pressure due to sluggish current demand from downstream buyers. Most Chinese stainless steel producers have begun reducing output, yet it remains difficult to support stainless steel prices.

According to the Turkish Statistical Institute (TUIK), Turkey imported approximately 470,000 tonnes of stainless steel coil in the first half of this year, up 3.1% year-on-year, as low offers from China attracted buyers' willingness to purchase.

During the period in question, imports from China reached 203,000 tonnes, representing a 52% year-on-year increase. Turkey imported 126,000 tonnes from Indonesia, soaring 293.8% year-on-year. Imports from South Korea fell 38% year-on-year to 50,000 tonnes.

The recent recovery in international nickel prices has prompted China to increase its stainless steel prices. Additionally, purchases in the Taiwanese domestic market improved in August. Market participants are optimistic about the upcoming peak season in September and October.

With US inflation cooling recently, it was analyzed that nickel prices rose for consecutive days, the Fed's interest rate hikes were expected to slow down, and the US dollar would weaken.

According to Taiwanese stainless steel production facilities, market demand remained sluggish over the past two months due to high market inventories and growing uncertainties. However, after market uncertainties gradually diminished and inventories were slowly digested, orders received in August resumed significantly.

The "Stainless Steel Precision Foil" standard, prepared by Shanxi Taigang Stainless Steel Co. (STSS) and several other units, has been officially approved and published by Chinese authorities, with implementation scheduled for February 1, 2023.

The standard defines stainless steel precision foil as cold-rolled stainless steel strip with a thickness not exceeding 0.05 mm, and clearly specifies the types, dimensions, shapes, allowable deviations, technical requirements, testing methods, inspection rules, packaging, marking, and quality certificates. The standard number is GB/T 41608-2022.

The "Stainless Steel Precision Foil" standard, prepared by Shanxi Taigang Stainless Steel Co. (STSS) and several other units, has been officially approved and published by Chinese authorities, with implementation scheduled for February 1, 2023.

The standard defines stainless steel precision foil as cold-rolled stainless steel strip with a thickness not exceeding 0.05 mm, and clearly specifies the types, dimensions, shapes, allowable deviations, technical requirements, testing methods, inspection rules, packaging, marking, and quality certificates. The standard number is GB/T 41608-2022.

Finland-based global stainless steel producer Outokumpu announced that its stainless steel deliveries in the second quarter of this year dropped by 3.7% quarter-on-quarter to 603,000 tonnes. In the first half of the year, deliveries increased by 1.3% compared to the same period last year, reaching 1.25 million tonnes.

Outokumpu's sales in the second quarter rose by 58% year-on-year to €2.95 billion.

Outokumpu stated that adjusted EBITDA in the second quarter reached a record level of €547 million, despite significant cost inflation and geopolitical turmoil. Additionally, the company launched its Circle Green product line, which features minimized emissions, and aims to achieve carbon neutrality at its Kemi chrome mine by 2025.

Russian nickel and palladium mining and smelting company Norilsk Nickel (Nornickel) raised its nickel surplus forecast to 75,000 tonnes for 2022 and 150,000 tonnes for 2023. The surplus was expected to consist mainly of low-grade nickel, as Indonesia's nickel pig iron capacity and nickel chemical production continue to expand.

Previously, the company expected the global nickel market to see a surplus of 40,000 tonnes and 100,000 tonnes for this year and next year, respectively.

Nornickel estimated that global primary nickel demand would grow by 8% and 12% year-on-year in 2022 and 2023, respectively.

Taiwan's E United Group sought to integrate the local stainless steel industry to form a united front and stand out in the international stainless steel market. In 2009, its proposal to merge with Tang Eng Iron Works failed during government review due to market monopoly concerns.

On July 29, E United Group brought the topic back to the table with a proposal, stating that it has become extremely difficult for Taiwanese stainless steel producers to operate alone in the international stainless steel market as major overseas manufacturers merge to strengthen their position.

If the government authority approves the merger, E United Group will acquire shares of Tang Eng Iron Works from the local stock market, targeting up to a 50% stake to operate the company.

E United Group currently holds approximately a 31% stake in Tang Eng Iron Works.

Tang Eng Iron Works stated that they have no insight into E United Group's intentions regarding the merger plan. Currently, China Steel Corporation and government-related entities hold approximately a 53% stake in Tang Eng Iron Works.

All market participants are monitoring the government's response to the merger request aimed at strengthening Taiwan's stainless steel industry.

According to statistics from the Stainless Steel Branch of the China Special Steel Enterprises Association, China's crude stainless steel production in the first half of this year decreased by 5.26% year-on-year to approximately 16.35 million tonnes.

During this period, China imported approximately 1.68 million tonnes of stainless steel, up 19.64% year-on-year. Meanwhile, stainless steel exports reached 2.42 million tonnes, representing a year-on-year increase of 10.6%.

Additionally, apparent consumption of stainless steel during the period in question fell by 5.38% year-on-year to about 14 million tonnes.

London Metal Exchange primary metal nickel temporarily paused its recent decline, continuing to rise by 14.12% over five consecutive trading days. The nickel price fluctuation range narrowed slightly, and the drop in international nickel raw material stocks provided support for steel prices.

Although the steel market has been subdued recently, a ray of hope has emerged in the market. The drop in nickel stocks at the London Metal Exchange is mainly driven by the gradual increase in demand for new energy vehicles. It is estimated that stocks have decreased by approximately 5,800 tonnes since July, currently standing at only about 61,000 tonnes, which triggered a recovery in nickel prices. Recently, both futures and spot prices have increased by more than US$300/tonne. The latest quote of over US$22,100/tonne offers a positive outlook for the market.

Alman üreticiden bağımsız çelik ve metal distribütörü Klöckner & Co., Hernandez Stainless GmbH (Hernandez) ve RSC Rostfrei Coilcenter GmbH`yi (RSC) satın aldığını duyurdu. Her iki satın alma da şirketin Alman yan kuruluşu Becker Stahl-Service aracılığıyla gerçekleştirildi.

Hernandez, yüzey kalitesi ve stok paslanmaz çelik yassı ürünler sağlar ve RSC, paslanmaz çelik ruloların soyulması konusunda uzmanlaşmıştır. Satın almalarla Becker paslanmaz çelik işleme alanına giriyor ve ürün ve hizmet portföyünü genişletiyor. Hernandez ve RSC, Avrupa genelinde yaklaşık 400 bayiye ve paslanmaz çelik işleme şirketine hizmet vermektedir.

Taraflar, her iki şirketin de satın alma fiyatlarını açıklamamayı kabul etti.

Her iki şirketin de bu yılın üçüncü çeyreğinden itibaren konsolide finansal tablolara dahil edilmesi bekleniyordu.

According to statistics, Turkey's stainless steel imports in May this year increased by 1.25% month-on-month and 8.9% year-on-year to 69,600 tonnes.

Among these, imports from China stood at around 25,000 tonnes, down 24.5% month-on-month but up 18.4% year-on-year; imports from Indonesia surged by 3.4 times month-on-month and 1.2 times year-on-year to approximately 15,000 tonnes.

Due to the pandemic control measures implemented in China during April and May, Turkey imported significantly less stainless steel from China and turned to Indonesia to bridge the supply gap.

In 2022, Turkey's stainless steel imports from China accounted for a 42% share, representing an 8% increase compared to the previous year.

According to the final results of an expedited sunset review of the anti-dumping (AD) duty order, the U.S. Department of Commerce (USDOC) found that revoking the existing AD order on stainless steel sheet and strip from China would likely lead to the continuation or recurrence of dumping at margins up to 76.64%.

The products subject to this order are annealed or heat-treated and pickled or descaled stainless steel sheet and strip, with a width greater than 9.5 mm and a thickness of 0.3048 mm or greater but less than 4.75 mm.

European stainless steel prices fell over the past week due to weak demand. The EU's safeguard import quotas were reset on July 1, meaning that imported goods still held in port warehouses could enter the EU market, potentially leading to oversupply.

Due to the current market situation and the upcoming traditional off-season, the European stainless steel market is expected to gain traction in demand no earlier than September.

Son yıllarda Hindistan`ın paslanmaz çelik ithalatı, özellikle Endonezya ve Çin`den önemli ölçüde arttı.

Hindistan`ın 2021`de sübvansiyonla mücadele vergilerini ve anti-damping vergilerini iptal etmesinin ve paslanmaz çelik ithalat tarifelerini düşürmesinin ardından Çin, Endonezya ve Hong Kong`dan ithal edilen paslanmaz çelik miktarı yıldan yıla önemli ölçüde arttı ve artmaya devam ediyor Bunların arasında Hindistan`ın paslanmaz çelik ithalatı ağırlıklı olarak Çin`den geliyor.

Buna ek olarak, Çin`deki paslanmaz çelik tedarik zinciri eksiksiz ve istikrarlıyken, denizaşırı mali önlemlerin yanı sıra Covid-19 salgınının tekrarlanan salgınının neden olduğu tedarik zincirinin yavaş iyileşmesinden de yararlanıyor, bu nedenle daha fazla denizaşırı sipariş Çin`e taşınır.

Sonunda, Çin paslanmaz çelik üzerindeki ihracat vergi iadesini iptal ettiğinden, bazı işletmeler veya ihracat hakkı olmayan kişiler, ihracat fiyatlarını düşürecek ve rekabet güçlerini artıracak olan gümrüklere beyan etmek için diğer ithalat ve ihracat şirketlerinden bir dizi yasal ihracat beyannamesi malzemesi satın alıyor. avantaj.

According to MEPS, an independent steel industry analyst, European stainless steel purchasing has fallen below market expectations since April this year.

Specifically, demand from end-users has slowed, and distributor purchasing has ground to a halt. Consequently, inventories have surged significantly as large volumes of materials ordered earlier this year have begun to arrive.

Market participants noted that if market demand remains sluggish in the second half of the year, inventories will remain more than sufficient through the end of this year.

However, some market experts remain optimistic about a potential demand recovery this coming September.

LME nickel futures rebounded yesterday (June 27), closing up by US$482 at US$22,882/ton. The spot price also rose by US$486.5 to US$22,846/ton.

Meanwhile, LME nickel inventories continued to decline, dropping by 360 tons to 66,936 tons, bringing the cumulative decrease for this month to 4,782 tons.

According to market participants, alongside declining LME nickel inventories, there are signs of economic recovery in China, which drove a strong rebound in nickel prices.

However, demand in the Chinese stainless steel market remains weak, so short-term nickel prices are expected to remain subject to macroeconomic factors.

According to the latest data released by the World Stainless Association (formerly ISSF), global stainless crude steel production in the first quarter of this year reached 14.45 million tons, failing to reach 15 million tons for two consecutive quarters, while decreasing by 3.8% year-on-year due to declines of more than 8% in China and the US compared to the same period last year.

China's stainless crude steel production in the first quarter reached 8.011 million tons, an increase of 4.1% compared to the fourth quarter of last year, but an 8% decrease compared to the same period last year.

US stainless crude steel production in the first quarter reached 569,000 tons, up 5.7% from the fourth quarter of last year, but down 8.8% year-on-year.

During the period in question, China's production accounted for 55.4% of global output. The year-on-year drop of more than 8% in China and US production led to a year-on-year decline in global production in the first quarter.

LME nickel futures closed at US$25,738/ton yesterday (June 20), rising for two consecutive days with a US$69 increase. The spot price also rose by US$89 to US$25,670/ton.

Meanwhile, LME nickel inventories decreased by 12 tons to 68,856 tons, bringing the cumulative decline for this month to 2,862 tons.

China's stainless steel futures finally rose yesterday. Combined with the slowing decline in Shanghai nickel prices and the continued drop in inventories, nickel prices climbed for two straight days, entering a stronger trend.

LME nickel futures closed up by US$598 at US$25,857/ton yesterday (June 15). The spot price also rose by US$601 to US$25,759/ton.

Meanwhile, LME nickel inventories decreased by 504 tons to 69,552 tons, bringing the cumulative decline for this month to 1,566 tons.

China's National Bureau of Statistics announced yesterday that the value added of industrial enterprises above designated size increased by 0.7% year-on-year in May, compared to a 2.9% decline in April. In the first five months, the total value added of industrial enterprises above designated size grew by 3.3% year-on-year.

Due to these factors, nickel prices stopped dropping yesterday and rebounded significantly. In addition, prices of base metals such as zinc, aluminum, and tin also halted their decline and rose.

According to a document from Brazil's Secretariat of Foreign Trade (SECEX), Brazil has decided to extend its anti-dumping (AD) duty investigation on imports of 304 cold-rolled stainless steel sheets originating from Indonesia by six months, starting from June 2 of this year.

There is sufficient evidence demonstrating that the products in question caused injury to the Brazilian domestic industry.

The investigation was initiated based on an application filed by Aperam Inox America do Sul SA, a local producer.

Jindal Lifestyle, an integrated stainless steel solution provider in India, has set up a new facility in Chennai to meet the demand for Vande Bharat trains, India's semi-high-speed train set.

Rajesh Mohata, CEO and Executive Director of Jindal Lifestyle, stated that the facility produces stainless steel components for buses. Demand was expected to continue as the railway sector regularly replaces coaches.

He also mentioned that the company supplies components to metro projects. Due to major opportunities in the automobile and electric vehicle sectors, the company aims to expand further in Tamil Nadu, a state in southern India.