[SMM Analysis] March Imports and Exports of Hydrometallurgy Intermediate Products

LME nickel surpassing US$18,000/ton boosted Chinese Taiwan's stainless steel outlook, with producers accelerating into high-value segments and China's futures hitting two-year highs, pointing to stronger Q2 margins. Tata Steel Netherlands was fined €8.5M for emissions breaches its second penalty in 2026. On prices, 304 futures closed at RMB 14,805/ton; Wuxi and Foshan spot cold-rolled held at RMB 14,900/ton; 316L averaged RMB 28,200/ton in Wuxi and RMB 28,250/ton in Foshan; 201 and 430 held at RMB 8,700/ton and RMB 7,800/ton. LME nickel reclaimed US$18,200, with a weaker dollar and Chinese bond issuance expectations providing broad cost support.

According to the latest data from SMM Customs, imports of SMM hydrometallurgy intermediate products in March 2026 reached 171,240 mt in physical terms, up 37% MoM and up 1.4% YoY. By country, the main incremental volumes this month came from hydrometallurgy intermediate products imported from Papua New Guinea, Indonesia, and New Caledonia.

Global nickel prices surpassed US$18,000/ton, driven by Indonesia's revised nickel valuation and Middle East geopolitical instability, prompting expectations of May price adjustments from Chinese Taiwan's domestic mills. On the corporate front, Walsin Lihwa is expanding into high-value sectors including aerospace, nuclear power, and AI server components, with cold-finished bars serving cooling systems. YC Inox is leveraging its Turkish facility to capture demand in EU and North African markets. With Chinese stainless steel futures hitting two-year highs, Chinese Taiwan's producers anticipate improved margins as raw material costs are passed downstream, positioning the industry for a strong Q2.