Singapore — Taiwan's top steelmaker China Steel Corp. will increase its domestic steel prices for October-December by an average of T$326/mt ($11/mt), or 1.4% from the previous quarter, CSC said in a statement after a quarterly meeting Friday.
Prices of heavy plate and hot-rolled coil will be raised by T$575/mt and T$293/mt, respectively, while hot-dipped galvanized steel will be increased by T$103/mt. Cold-rolled coil and electro galvanized steel prices will remain unchanged.
The increase in prices reflects continuous strong steel demand in Taiwan and supply tightness in Asia's steel market during Q4, the Kaohsiung-based mill said.
According to the statement, maintenance at South Korean mills in Q4 and low exports from Japan because of strong domestic demand will limit regional supply. Besides, China's blue sky plan could continue to rein in its steel output and exports.
On the demand side, with China to focus more on the infrastructure sector throughout the rest of the year, steel prices and demand are expected to be on an upward trend -- keeping international steel prices supported, CSC said.
The company also attributed the strong demand seen for heavy plate in Taiwan largely to healthy economy growth in Q2 and the start of many new infrastructure projects in Q3.
"Taiwan benefits from prosperous exports and continuous strong industrial production. The latest forecast for economy growth has been raised to 2.69%, presenting stable and positive situation," CSC said.
