Taiwan’s China Steel Corporation (CSC) announced it will maintain flat pricing for February to stabilize customer confidence. This move aims to counter conservative downstream procurement, manage inventory adjustments, and anticipate increased post-Lunar New Year demand. The depreciation of the Taiwanese currency is also expected to boost CSC’s export competitiveness.
CSC noted that global manufacturing demand remains subdued, with markets watching the impact of policies under President-elect Donald Trump. In response to slowing inflation, central banks in Europe and the U.S. have adjusted interest rates. The OECD forecasts global economic growth at 3.3pct for 2025, while Taiwan’s central bank predicts domestic growth at 3.25pct this year.
Despite nine months of growth in Taiwan’s industrial production index by November, CSC highlighted challenges from excess capacity and low-price competition in some international markets, affecting export orders. The steel market typically slows during the Lunar New Year, with slight declines in iron ore and coal prices. The depreciation of the Chinese yuan has also led to lower hot-rolled steel prices in China.