CSC to Raise June Steel Prices by Average 8%
Taking a cue from its Chinese counterparts Baosteel Group and Wuhan Iron and Steel Corp, as well as Formosa Ha Tinh Steel Corp in Vietnam, Kaohsiung-
Taking a cue from its Chinese counterparts Baosteel Group and Wuhan Iron and Steel Corp, as well as Formosa Ha Tinh Steel Corp in Vietnam, Kaohsiung-based Taiwan’s largest steelmaker China Steel Corp is raising domestic steel prices by 8% on average for delivery in June 2021, reflecting climbing steel demand worldwide and increased manufacturing costs due to higher raw material prices. Prices of mainstream hot-rolled steel and hot-roll steel plates are to rise by TWD 2,300 (USD 82) per tonne next month, while cold-roll steel prices are to climb by TWD 2,500 per tonne. The company is to raise prices for mid-to-low-grade electrical steel coils by TWD 1,000 per tonne and TWD 1,500 for high-end coils, while prices for hot-dipped zinc-coated steel coils used in home construction are to rise by TWD 2,500 per tonne.
CSC said “Global steel demand is picking up significantly due to a recovery in the world economy. Tight steel supply and price hikes in raw materials, including coal, iron ore and shipping costs, have pushed global steel prices to historic highs. High steel prices are becoming a new norm.”
CSC added “Domestic steel prices have increased at a much slower rate than global steel prices. The price discrepancy has caused unusual exports of steel, causing domestic supply and demand imbalance. This has gone against the free-market mechanism.”