[SMM Aluminum Express News] Tsingshan Holding Group has reportedly asked some nickel pig iron (NPI) producers at Indonesia’s Weda Bay industrial park to cut output by June in order to redirect electricity supply toward aluminum production. The move highlights growing power constraints as Tsingshan expands into aluminum smelting in Indonesia, where stronger aluminum prices and Middle East-related supply disruptions have improved margins for the metal.

News Release: April 30, 2026 According to SMM statistics, China’s high-carbon ferrochrome output in April 2026 fell by 1.28% month-on-month but rose by 24.63% year-on-year, with notable regional divergence. The majority of the monthly output reduction came from Inner Mongolia in northern China. Affected by substation maintenance, ferrochrome producers in Fengzhen faced production restrictions, with output dipping slightly by 1.82%.

This week, stainless steel spot prices and production costs both strengthened, with stainless steel mill smelting profits further expanding. Taking 304 cold-rolled products as an example, calculated based on same-day raw material prices, the full cost profit margin reached 3.15% this week; if calculated based on inventory raw material costs, the profit margin was 5.41%. Nickel-based raw material costs: high-grade NPI prices rose sharply this week. Affected by geopolitical conflicts in the Middle East, sulfur supply tightened, driving SHFE nickel prices up significantly; combined with news related to Indonesian nickel ore, bullish expectations for high-grade NPI prices further strengthened. Recently, stainless steel mills have returned to profitability, increasing their acceptance of high-priced raw materials and enhancing procurement enthusiasm, pushing high-grade NPI prices up sharply within the week. As of this Friday, mainstream 10-12% grade high-grade NPI rose 38 yuan per nickel unit to 1,135 yuan/nickel unit. Stainless steel scrap market: stainless steel scrap prices further strengthened this week. SS futures surged, driven by SHFE nickel's spike triggered by geopolitical conflicts; this transmitted to the spot market, with stainless steel and alternative raw material high-grade NPI rising in tandem, boosting bullish sentiment. The rapid rise in high-grade NPI prices further highlighted the cost-effectiveness advantage of stainless steel scrap. Despite ongoing tax invoice issues, steel mills' preference for using scrap remained unchanged; combined with profit recovery and production schedules staying high, procurement demand was robust, providing strong price support. The overall pattern was "futures leading, raw materials moving in tandem, demand supporting," with tax invoice issues not significantly constraining the uptrend. Stainless steel scrap prices are expected to hold up well in the near term. As of this Friday, mainstream 304 off-cuts prices in Shanghai rose 200 yuan/mt, with the latest quote at approximately 10,600 yuan/mt. Chromium-based raw material costs: high-carbon ferrochrome prices remained generally stable this week. During the week, Tsingshan announced its May steel mill tender price for high-carbon ferrochrome, up 100 yuan/mt (50% metal content) MoM, further boosting ferrochrome market confidence; additionally, with stainless steel prices continuing to rise recently and production schedule expectations staying high, ferrochrome demand was unlikely to pull back significantly. However, ferrochrome production schedules remained at high levels, recent retail market transactions were sluggish, and market entities mostly adopted a cautious wait-and-see attitude, keeping prices relatively stable. As of this Friday, mainstream high-carbon ferrochrome prices in Inner Mongolia held steady WoW at 8,475 yuan/mt (50% metal content).

To date, the continuous decline of chrome ore prices has halted. Driven by a higher-than-expected increase in steel bidding prices, chrome ore prices have rebounded moderately.

[SMM Chrome Daily Review: Steel Tender Bids Raised by 100, Confidence in Chrome Market Strengthened] April 27, 2026: The ferrochrome and chrome ore market saw no fluctuations for the time being...

[SMM Chrome Daily Review: Steel Mills Raised Bids, Market Confidence Rebounded] April 22, 2026: The ferrochrome and chrome ore market saw no fluctuations for the time being...

Chinese Taiwan's stainless steel prices are poised for a sixth consecutive monthly increase, driven by persistently high raw material costs, rising international stainless steel prices, and another price hike by Tsingshan in Indonesia. The implementation of Indonesia's new nickel ore benchmark price (HPM) policy on the 15th, alongside China's Q1 GDP growth of 5% beating market expectations, has pushed nickel ore prices higher. Having risen steadily since December last year with a cumulative gain of NT$19,500/ton over five months, Chinese Taiwan's stainless steel prices are widely expected to rise again in May by NT$3,000–4,000/ton.

【SMM Steel】On Apr 10, 2026, the Guixin Steel Indonesia project, a JV between Guangxi Guixin Steel Group and Tsingshan Holding Group, was fully commissioned at the Tsingshan Industrial Park in Central Sulawesi. The project involved converting a former nickel-iron BF into a 1,216m³ carbon steel BF. The facility includes a 210㎡ sinter plant, two 12㎡ shaft furnace pelletizing units, a 100T BOF, and full-process CC & HR lines. It will produce >1.8 Mt/y of quality steel billets/products. SMM understands it currently mainly produces slabs, with billets expected in August and HRC later. The capacity will fill regional carbon steel gaps and impact semi-finished/flat steel trade flows in SE Asia.

Chongqing’s Fuling District has successfully secured a major investment from Qingtuo Group (a subsidiary of Tsingshan Industry) for a 700,000 ton/year stainless steel cold rolling project. With a total investment of 2 billion yuan and a footprint of approximately 400 acres, the facility is projected to generate an annual output value of 10 billion yuan once fully operational.

This week, prices of 304 stainless steel scrap off-cuts in east China strengthened to 10,000-10,100 yuan/mt; prices of stainless steel scrap off-cuts of the same specification in Foshan also rose, with the price range at 9,600-9,900 yuan/mt. In terms of raw material production costs, the current cost of producing stainless steel entirely from stainless steel scrap was about 14,098.03 yuan/mt, while the cost of production using only high-grade NPI was 14,786.98 yuan/mt. This week, stainless steel scrap prices fell back, mainly driven by macro sentiment disruptions, weak futures, and pressure on both supply and demand. Escalating geopolitical conflicts, coupled with hawkish remarks from the US Fed, dragged SS futures into the doldrums overall, with the bearish impact directly transmitted to the spot market. Stainless steel finished product prices also pulled back across the board, and market pessimism gradually spread. Prices of substitute raw materials also pulled back, while stainless steel mills showed a strong inclination to push for lower prices. NPI traders turned weaker in sentiment and sold at low prices, and the high-grade NPI market also softened. In addition, Tsingshan's April tender price for high-carbon ferrochrome was set low, not only below previous market expectations but also lower than current retail quotations, limiting room for ferrochrome prices to rise and eliminating the support from substitute raw materials for stainless steel scrap. Currently, inventory at stainless steel scrap yards remained relatively high. Coupled with tight tax invoice availability, stainless steel mills were not active in procurement tenders, and the procurement pace continued to slow down. Amid the resonance of multiple bearish factors, stainless steel scrap prices fell in line with futures and finished products. Although stainless steel scrap still maintained a clear economic advantage over high-grade NPI, under the overall weak market atmosphere, cost support was difficult to translate into price support and failed to reverse the downward price trend. Overall, the stainless steel scrap market this week showed a weak pattern of "futures drag, weaker raw materials, and pressure on supply and demand." In the short term, bearish factors are expected to dominate, and stainless steel scrap prices are expected to remain in the doldrums.