In Taiwan, skyrocketing hot-rolled steel costs and high global energy prices are driving a sharp increase in hot-dip galvanized steel (HGI) prices.

Following price hikes by major domestic suppliers China Steel Corporation (CSC) and Chung Hung Steel, Taiwanese HGI processors implemented even larger adjustments to cover their soaring manufacturing expenses. These increases have quickly impacted the local market, raising costs for downstream products such as C-channel steel and steel pipes.

In spite of a temporary drop in market activity, Taiwanese steel mills remain optimistic. Low inventory levels among end-users are expected to trigger a wave of replenishment soon.

Moreover, ongoing Middle East conflicts continue to disrupt energy supplies, sustaining the upward pressure on costs. Producers anticipate that these supply-side constraints will support firm price levels across the region for the foreseeable future.