Taiwan’s upstream stainless steel mills are expected to slightly hike their prices for March, driven by supply constraints and a domestic market recovery. Despite nickel prices dropping below US$18,000/ton during the Lunar New Year holiday, a 71.4% production cut at Indonesia’s PT Weda Bay Nickel provides firm cost support.

Furthermore, China's new export licensing system restricts low-cost steel outflows, granting Taiwanese producers stronger pricing power. Market participants anticipate a spring rally as downstream buyers replenish inventories.

Although the price surge may be milder than in previous months, the 304 series could rise by NT$1,000 to NT$2,000 per ton. It is believed that reduced foreign competition and steady demand make a March price increase highly probable.