Taiwan: Yusco, Tang Eng lift March stainless steel prices for fourth straight month

• • Nickel-led cost push drives synchronized hike

• • Distributors cautious amid rising inventory burden

Taiwan’s leading stainless steel producers, Yusco and Tang Eng, have raised March shipment prices, marking the fourth consecutive monthly increase since December. The revision reflects sustained alloy cost pressure and firm upstream pricing across Asia.

Yusco announced a TWD $2,000/t ($63/t) increase for 304-series hot- and cold-rolled products, with 316L Extra also up by TWD $2,000/t ($63/t). Prices for 430-series material were raised by TWD $1,000/t ($31/t). Tang Eng followed with identical hikes for 300-series and 316L Extra grades, aligning domestic benchmarks.

Nickel rally underpins cost pressure:

The price adjustment follows rising nickel feedstock costs linked to Indonesias ore mining restrictions. LME nickel and nickel pig iron (NPI) prices have strengthened in tandem, raising melt-shop input costs. In addition, Tsingshan notified customers of a further $15/t increase on 24 February, after having already lifted Taiwanese mill supply prices by $30/t before the Lunar New Year, bringing total February hikes to $45/t. These upstream moves provided strong reference points for Taiwanese mills.

Demand outlook steady but cautious:

On the demand side, Taiwan’s government has raised its 2026 GDP growth forecast to 7.71%, supported by AI-driven infrastructure expansion. Stainless steel demand for data centres, electronics and structural applications remains supportive.

However, downstream distributors and end-users remain cautious after four consecutive monthly hikes. Market participants noted rising psychological expectations of higher prices, but concerns persist over whether real consumption will absorb high-cost inventories. Buyers are therefore favouring gradual stabilisation rather than aggressive price escalation.

Outlook:

Further price direction will hinge on nickel trends, Indonesian supply policy and downstream order flow. While cost fundamentals remain supportive, sustained increases may face resistance unless end-user demand strengthens materially.