China: Stainless steel imports hit 6-year low; exports decline amid policy curbs
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- February imports drop to multi-year low levels
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- Weak demand and logistics issues weigh on outlook
SteelDaily: China’s stainless steel trade weakened sharply in early 2026, with February imports falling to their lowest level in six years on subdued demand and policy disruptions. Total imports stood at 109,200 t (t) in February, down 16.3% m-o-m and 31.7% y-o-y, reflecting reduced buying interest following the Lunar New Year slowdown.
Cumulative imports for January-February declined 25.5% y-o-y to around 239,700 t, with Indonesia, Japan, and South Korea accounting for over 90% of inbound shipments. Imports from Indonesia alone fell 27.4% y-o-y to approximately 199,800 t, highlighting weaker regional trade flows.
Export curbs weigh on outbound shipments:
China’s stainless steel exports also came under pressure, declining 34.8% y-o-y to about 492,700 t in January-February. January exports dropped sharply to 232,600 t, marking the lowest level since March 2020, largely due to the implementation of a new export licensing system from 1 January.
Although exports recovered marginally in February to around 260,000 t, volumes remained below last year’s levels, indicating continued disruption in trade activity.
Product-wise decline and regional weakness:
Cold-rolled stainless steel imports fell 17.8% y-o-y to 159,300 t, while hot-rolled products declined 17.6% to 28,300 t. Semi-finished imports, particularly slabs, dropped sharply by 98.4% y-o-y, reflecting limited upstream demand.
Key export destinations, including the Middle East, Russia, and Southeast Asia, recorded weaker volumes. Exports to the Middle East fell 22.1% y-o-y to around 95,400 t during the period, impacted by geopolitical tensions and logistics disruptions.
Outlook:
Trade activity is expected to remain subdued in the near term, as rising freight costs, longer transit times, and ongoing geopolitical tensions continue to affect export competitiveness. The impact of China’s export licensing regime is likely to persist, limiting any sharp recovery in shipments.
