[SMM Stainless Steel Flash] Taiwan (PoC)'s Walsin Lihwa holds October 304 wire rod, lifts copper and moly grades

Indonesia's nickel pig iron (NPI) has lost access to the European market as the EU's Carbon Border Adjustment Mechanism (CBAM) enters its definitive phase in 2026, according to Eramet. Indonesian NPI production relies heavily on coal-fired captive power, resulting in relatively high carbon emissions and weakening its competitiveness in Europe as carbon costs rise. Eramet noted that tightening European carbon rules are widening the cost disadvantage for high-carbon materials, making carbon intensity an increasingly important factor for nickel and stainless steel raw materials. Indonesia's NPI exporters may therefore face greater pressure to redirect sales to other markets or reduce emissions through cleaner energy sources.

Indian stainless bright bar export prices edged lower in the week ended 29th September, with both 304 and 316 slipping amid thin trading. European buyers held back on fresh bookings because of uncertainty over CBAM implementation and the EU quota regime, demand in other key markets such as the UAE stayed soft, and elevated freight rates further weighed on exports. The domestic market held up better: 304 bright bar prices were flat and 316 eased slightly, with tight scrap supply and high alloy costs underpinning seller offers. Export prices are expected to stay broadly stable in the near term. Enquiries may pick up as overseas buyers return from holidays, but freight costs and EU trade-policy uncertainty are likely to cap new orders, while raw material costs limit the downside.

The European Commission's Directorate-General for Trade and Economic Security opened a targeted consultation on 28th September to assess the first quarter of the new steel tariff rate quota regime under Regulation (EU) 2026/1384. The deadline is 23:59 CEST on 11th October. The consultation is aimed at upstream producers, downstream users, business associations, third-country governments and exporters. The questionnaire covers supply shortages, price developments, sourcing countries and the availability of specific grades, and respondents may file separately for each product category in Annex 1 of the Regulation. At roughly two weeks, the window is far shorter than the earlier consultations on melt-and-pour evidence and product scope; the product scope consultation closed on 30th September. Since the regime took effect in July, quotas have been sharply reduced and out-of-quota imports face a steep tariff. This consultation is the main channel for processors and traders to put the resulting supply tightness and price increases on the Commission's monitoring record ahead of future quota decisions. Stainless flat and long products are both within scope, so importers and users have until the deadline to respond by product category.