In recent years, Taiwan's stainless steel industry has been affected by China’s overcapacity and low-price dumping to many countries, and demand has been unable to be boosted, making it difficult for the industry to make profits.

After the Trump administration imposed 25% tariffs on imported steel and aluminum, the global carbon steel market rebounded. However, there was still no significant improvement in demand for stainless steel although the recent price has started to rise due to higher raw material costs.

China’s economy has deteriorated and domestic demand has weakened, but production capacity has not been reduced and the dumping situation is getting worse, further impacting Taiwan's stainless steel market.

Although some countries have taken anti-dumping measures against China’s carbon steel, sanctions on stainless steel are rare. Market participants said that if China continues to dump its stainless steel products at low prices, it may be more difficult for Taiwan's stainless steel factories to make a profit.