Stainless steel terminal conduction is not smooth, nickel pig iron steel mill procurement is relatively light [nickel pig iron daily review]

According to SMM data, on September 23, the FOB price of Indonesian MHP nickel fell by $114/mt Ni from the previous day, and the FOB price of Indonesian MHP cobalt fell by $574/mt Co. The FOB price of Indonesian high-grade nickel matte rose by $51/mt Ni.

Taiwan (PoC)'s stainless steel midstream processor Sinkang Industries reported a blockbuster H1 2026: gross margin surged 10 percentage points YoY to 12%, driving after-tax net profit up more than 7x to NT$134 million (approximately USD4.2 million) with EPS of NT$1.02, a dramatic turnaround from near-breakeven in H1 2025. President Cheng Chu-Tzu attributed the profit jump primarily to nickel price strength on geopolitical tensions and Indonesia's production cut policies lifting stainless steel pricing. The product mix is highly concentrated, with 304-series accounting for 93% of revenue. While H1 revenue grew 9.5% YoY to NT$1.666 billion, momentum has already stalled entering H2: July revenue grew just 0.9% YoY and August turned negative at -5.3% YoY. Management characterized H2 as "stable" rather than "accelerating," with Cheng noting that raw material cost visibility is low as pricing power rests entirely with upstream mills including Tang Eng, Yusco, Walsin Lihwa, and Tung Mung. Whether the H1 gross margin peak can be sustained remains uncertain. The company flagged gradually declining inventory levels as a potential restocking catalyst, and identified semiconductor and electronics customer development as its medium-to-long-term growth axis.