[SMM Stainless Steel Flash] Chinese Taiwan's Walsin Lihwa Achieves Record H1 Profits Driven by Strong Q2

[8.11 Morning Meeting Minutes] The National Bureau of Statistics (NBS) released data showing that in July, due to imported factors, the Consumer Price Index (CPI) fell 0.1% MoM but rose 0.5% YoY. Core CPI, which excludes food and energy prices, rose 0.3% MoM and 0.9% YoY, and CPI maintained a mild uptrend overall. The most-traded SHFE nickel 2609 contract moved sideways in the early session, and as of the early session close it was at 129,570 yuan/mt, up 0.33%. Nickel prices are currently in a highly uncertain environment characterized by wild swings in policy expectations, macro headwinds, and geopolitical risks. In the short term, the market is expected to swing wildly, with the most-traded SHFE nickel contract trading within a range of 125,000-133,000 yuan/mt.

India's Jindal Stainless Limited (JSL) has commenced the process of identifying suitable land in Maharashtra for its planned US$4.20 billion greenfield stainless steel mill. CEO Tarun Khulbe stated that progress is being made in the right direction, with clarity on the land issue expected within the next one to two quarters. The proposed facility will have a total capacity of 4 million mt/year, to be developed in phases with the first phase targeted for completion within four years. The mill will also produce specialized steel grades for critical applications in emerging sectors including hydrogen, nuclear energy, defense, mobility, infrastructure, and process industries.

Chinese Taiwan's stainless steel ex-mill prices rose approximately NT$1,500/ton last week following August list price increases, lifting spot market prices as well. Indonesia also raised export offers by US$30/ton last week, providing additional market support, though buyer acceptance remains to be seen. Meanwhile, the EU's new melt-and-pour import origin declaration requirement takes effect October 1, 2026, shifting market focus from tariffs and quotas to actual upstream steel origins — making the response of mills in Indonesia, Taiwan (POC), and other markets a key Q4 issue. Indonesia exported approximately 330,000 tonnes of stainless steel slabs to Italy last year, with EU slab exports already exceeding 123,000 tonnes this year, as semi-finished slabs have become a critical route for Indonesian material entering the European supply chain. Under the new rule, Indonesian melt origin will remain traceable even if slabs are processed in third countries before entering the EU. Should EU-bound exports face restrictions, a return flow of Indonesian material to Asian markets could emerge, making production discipline among major mills a pivotal factor in Q4 price stability.