Taiwan’s 316L surcharges affected by surging molybdenum prices
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Update time : 2022-12-29 18:47:10
The prices of molybdenum, one of the major raw materials for 316L stainless steel, have recently surged a lot, soaring to above the US$70,000/ton level from the previous US$40,000/ton level.
In order to reflect the production costs, Taiwan’s major upstream stainless steel mill Yieh United Steel Corp. (Yusco) decided to give quotations with a negotiation way for each order for January 2023, and another upstream mill Tang Eng Iron Works Co., Ltd. announced a price hike of US$9,000/ton, which hit the highest in recent years.
The mills said the high surcharges would make 316L products hard to sell. However, due to the relatively low demand for this product and high replacement by 304 series products, the potential poor sales were expected not to impact a lot on the companies’ revenue.
