Data: SHFE, DCE market movement (Jun 03)

HRC futures closed at 3,386 today, down 0.35% for the day. Spot side, spot prices of cold-rolled and hot-rolled coils fell 5-10 yuan/mt, with overall trading performance being mediocre. In the short term, the upside room for sheets & plates prices is constrained by the domestic demand off-season and cooling exports, while downside cost support remains strong. Neither the upside nor downside window has opened, and sheets & plates prices are expected to move sideways within a price range in the short term.

【SMM Steel】On June 2, 2026, the International Steel Management Society of Kaohsiung formally opposed proposed AD duties on cold-rolled steel from South Korea and China. The association argued that additional tariffs would devastate downstream competitiveness already pressured by high electricity rates and carbon fees, and would encourage domestic monopoly, threatening profit margins and driving processing factories overseas. Imports complement specific domestic supply shortages where CSC lacks capacity. CSC's profit declines are due to global demand contraction and rising energy costs, not foreign dumping.

【SMM Steel】Taiwan's steel cutting and pipe manufacturing groups have requested CSC to slow down price increases for Q3, citing end-user resistance, reduced purchase volumes, and falling export orders after months of rising costs. Low-priced imports and semi-finished products are also disrupting the domestic market. CSC Sales Director Po-Han Chen promised careful price evaluations during the inventory digestion period and warned against speculative bottom-fishing of imports. CSC also announced that starting Q4, monthly price releases will be fixed on the 5th, with early announcements if that date falls on a holiday.