Indonesia's Castle Peak dominates Taiwan's stainless steel market and surged to 60,000 tons/month

According to Taiwan media reports, the three major upstream steel-making plants in the region - Qilian, Huaxin Lihua and Tang Rong's steel, plummeted. In July alone, Tang Rong's steelmaking volume was less than 30%, setting a new record low.

In order to consolidate customers, the above-mentioned steel-making enterprises have reduced their own production, and then repurchased to Qingshan. The report quoted Taiwanese sources as saying that if there is no effective solution, the self-sufficiency rate of stainless steel semi-finished products in Taiwan will drop sharply, and even rely on imports.

According to the above report, the import of stainless steel embryos and hot rolling from the Qingshan Mountains in Indonesia has increased to 60,000 tons in a single month, and will reach 720,000 tons in the whole year, accounting for more than 65% of its upstream steelmaking capacity, and the proportion is expected to come. The higher.

Taking Tang Rong as an example, in order to maintain the job opportunities of employees, the company's steelmaking volume in July was only about 8,000 tons, a record low.

Due to the coincidence with the product line of Castle Peak in Indonesia, the loss per ton is 1 ton. It is expected that the future self-refining capacity of Tang Rong may continue to decrease.

Zhang Jinyu, general manager of Yunqiang, the largest stainless steel pipe factory in Asia, pointed out that the whole of Taiwan's stainless steel upstream and downstream are fed with Qingshan, resulting in “upstream change in the middle and midstream.”

In other words, the steel mill in Taiwan is becoming a processing plant, and the processing plant has become a distributor.

Lin Yishou, chairman of the association, said that now how to open stainless steel in Taiwan and how the market is distributed is almost always dominated by Castle Peak, rather than local steel mills. This phenomenon is not normal.