Unbelievable! China Steel Corp Hikes Prices by a Whopping NT$1,200

In an exhilarating update from China Steel Corp, the company announced it's gearing up to boost its domestic steel prices by a whopping NT$1,200 (US$37.61) per tonne in the upcoming month and quarter. This decision comes hot on the heels of previous increases, and is a nod to the escalating raw material prices and the pricing strategies of other steel giants in the region.

Just to give you a snapshot: recently, the company had amped up its prices between NT$500 to NT$900 per tonne. Just before that, they had also added an extra NT$300 per tonne. Interestingly, Fubon Securities Investment Services Co had foreseen this rise, pegging it somewhere between NT$500 to NT$1,000 per tonne.

China Steel Corp pointed out a noticeable dip in the New Taiwan dollar against the US dollar – a decline of more than 4% in the recent quarter. This shift has inadvertently bumped up the raw material costs for the steel industry.

Other key players in the Asian steel market are on the same page, raising their prices for Q4 deliveries. This move mirrors the escalating costs of vital resources like iron ore and coking coal. With the year-end approaching, the steel industry anticipates a surge in demand from the US and Europe. Plus, the appetite for steel in vehicle manufacturing is revving up, adds China Steel Corp.

Globally, there's a palpable buzz about the steel market gearing up for an ascent.

For the steel aficionados out there, here's a little more detail: China Steel Corp plans to up the prices of key steel products, like hot-rolled steel plates, cold-rolled steel coils, and a few others by NT$500 per tonne soon. And hold onto your hats! The next quarter might see even heftier hikes, especially for products like steel rods and plates used in ships.

Echoing this trend, South Korea's POSCO has also spiced up its hot-rolled steel prices by US$38 per tonne. Not to be left out, China's top steel tycoons like Baowu Steel Group Ltd and a couple of others have bumped up prices for certain steel products for their domestic deliveries.

On the financial front, China Steel Corp shared that its revenue dipped a bit last month. However, the silver lining is their optimism. They're bullish about the future, foreseeing a global economic rebound, customers restocking, and a general positive trend in steel prices. Plus, as history has shown, the last quarter typically brings good tidings for the steel industry. So, things are looking up!

Source : Taipei Times