Posted on 18 Jul 2025
China Steel Corp (CSC, 中鋼), Taiwan’s largest integrated steelmaker, yesterday announced it would maintain domestic prices of all products unchanged next month, as US tariffs and foreign exchange rates keep downstream clients sidelined.
The move came after the US on June 4 raised steel and aluminum tariffs to 50 percent from 25 percent, while the New Taiwan dollar surged 9.88 percent against the US dollar in the second quarter.
The US market is the main export destination for downstream steel vendors — including those making screws, hand tools and API oil pipes — but the tariffs and the NT dollar’s sharp appreciation are to weigh on outbound sales of the local steel sector.
Against this backdrop, CSC said that its downstream partners are conservative in material procurement.
Meanwhile, analysts at Yuanta Securities Investment Consulting Co (元大投顧) expect negative seasonal factors, such as high temperatures and more rainfall, to impact the steel sector this quarter.
“In order to stabilize customer confidence, China Steel decides to maintain its prices for all products sold in August,” CSC said in a statement.
“At the same time, we will continue to launch various supporting programs to help downstream partners secure orders,” the Kaohsiung-based company said.
Global trade, consumption and investment confidence are still at a low level, CSC said.
However, as the US has gradually notified its trading partners of tariff rates, Washington’s tariff policy has gradually become clearer, which would help reduce market uncertainty, the company said.
In addition, prices of raw materials such as iron ore and coal remain stable at US$95 to US$100 and US$175 to US$180 per tonne respectively, while steel prices in Asia remain at low levels, and China is promoting output cuts in its steel sector, with all of those factors a positive sign that the market would get out of the trough soon, the company said.
Source:Taipei Times
