SMM

China's new export licensing requirements for steel products are expected to benefit Taiwanese manufacturers like Yieh United Steel Corp. (Yusco), Tang Eng, and Walsin Lihwa. With Chinese stainless exports nearing 5 million tons this year, the added administrative hurdles are seen as a move to address global oversupply and aggressive price wars. Experts predict this will stabilize international prices and prompt global buyers to shift orders to Taiwan to avoid policy risks, helping domestic mills secure high-value contracts and potentially ending the cycle of low-price competition.

Taiwan's Walsin Lihwa has successfully integrated into the booming AI server sector, with its cold-finished stainless steel bars now supplying China's AI server supply chain and capturing a 50% market share. These bars are essential components for quick-disconnect couplings in liquid cooling systems—for instance, a single GB300 cabinet requires 276 such units. While the automotive industry remains a primary consumer, the company expects rapid production growth driven by the increasing adoption of liquid cooling for high-power chips.

Market sources report that stainless steel prices in Europe have recently increased by up to €100/mt, with further hikes anticipated. Domestic producers are currently reluctant to provide quotes and are attempting to shift orders and deliveries to Spring 2026. This strategy aims to capitalize on expected price increases resulting from the Carbon Border Adjustment Mechanism (CBAM) CO2 tax, which is set to take effect on January 1, 2026.

On December 4, 2025, the "Yongyuda," a 13,800 DWT stainless steel chemical tanker, was successfully launched at Ningxing Shipbuilding's Zhoushan base. This vessel marks the first of its kind built for Zhejiang Yongyuda International Shipping, with the ceremony witnessed by representatives from Bureau Veritas.

On December 11, Fujian Tsingshan Special Material officially signed a university-enterprise cooperation agreement with Fujian University of Technology. The two parties held a symposium focused on industry-university-research collaboration, aiming to deepen the integration of industry and education and foster synergistic development.

On December 15, 2025, Guangqing Rolling, a subsidiary of Guangqing Technology, was awarded the honorary title of "Yangjiang City Advanced Collective." Notably, the company has achieved a cumulative production of over 50,000 tons of thin sheets with a thickness of 2.0mm and below, marking a significant milestone in its high-end manufacturing capabilities.

Market sources indicate a surge in stainless steel export and processing orders, with pipe shipments being particularly active due to current low prices. Industry participants are rushing to complete deliveries before the new export licensing regulations take effect on January 1, 2026. Notably, following a recent "short squeeze," current shipments primarily represent the fulfillment of existing contracts rather than new speculative trading. This signals that traditional arbitrage logic is fading, with the industry shifting focus toward clarifying export qualifications and meeting genuine overseas demand.

【SMM News Flash】As the world's second-largest gold market, India's investment demand in Q3 was up 20% YoY to 91.6 mt, surging 67% in value terms to $10.2 billion. However, due to record-high gold prices, jewelry demand fell 31% YoY to 117.7 mt, leading to an overall 16% YoY decline in gold consumption to 209.4 mt. World Gold Council data shows that in the first nine months of 2025, investment demand accounted for 40% of total gold consumption, the highest proportion on record.Jain stated that, supported by festive and wedding season purchases, the World Gold Council expects Q4 demand to exceed Q3. However, he added that total physical gold demand in 2025 is forecast to be between 600 and 700 mt, the lowest level since 2020, significantly below last year's level of 802.8 mt.

【SMM News Flash】In a statement released on Tuesday, Glencore announced that it has expanded its operations in Peru and enhanced its standing among metal producers in the country by acquiring the Quechua copper project, which is adjacent to its Antapaccay operations in Peru.