Taiwan’s major upstream stainless steel producers Yieh United Steel Corp. (Yusco) and Walsin Lihwa raised 304 series prices by NT$4,000 per ton for May, continuing a six-month upward trend.

Although buyer interest remains weak, extreme cost pressure sustains this rally. London Metal Exchange (LME) nickel prices recently hit a two-year high of US$19,400 per ton, driven by tight Indonesian ore supply. In addition, Middle East conflicts have caused energy and freight rates to climb, while record-high sulfur prices have also increased production expenses across the supply chain.

International markets reflect this growth as Chinese stainless steel futures jumped to CNY 15,530 this month. Although downstream buyers only purchase what they need, the strong cost support prevents prices from dropping. Market participants expect prices to increase slowly after the Labor Day holiday, with the exact pace depending on future demand and global market changes.