Stainless steel prices remained low through most of 2025 compared with the Q1 2024 baseline. Prices generally declined or remained subdued due to persistent oversupply, weak downstream demand, relatively low raw material costs for much of the year, and strong production levels in China. Continued export competition across the region also weighed on prices. The decline was most evident in markets such as Australia, KSA, India and the UAE due to price pressure from discounted imports, softening demand alongside cautious buying activity. China’s high output and muted domestic consumption kept overall Asian pricing at lower levels. Against this backdrop, prices in Japan, Taiwan and Thailand increased modestly in 2025, driven by selective producer price actions and cost‑push factors, although import competition and cautious end‑user demand capped additional price increases.

In Q1 2026, stainless steel prices moved higher QoQ across Asia, led by Taiwan and India. The increase was driven mainly by rising alloy costs, particularly nickel, alongside higher energy and freight costs following Middle East supply chain disruptions. Tighter availability linked to CBAM‑related trade disruption in Europe also supported pricing levels. In China, lower inventories and rising replacement costs added upward pressure, despite uneven underlying demand. Overall, the Q1 increase reflected cost‑side pressure rather than a broad‑based demand recovery.

Looking ahead to Q2 2026, stainless steel prices in Asia are expected to remain elevated or stabilise at higher levels. Persistent high input costs, elevated energy prices, logistics constraints and reduced export availability are expected to continue supporting prices. Japan’s market is expected to remain firm amid higher raw material and energy costs and currency weakness, while Taiwan’s prices should continue to be driven by higher upstream costs and cautious exporter behaviour. India is also expected to see firmer price support as infrastructure‑led demand sustains domestic production. Australia is likely to experience a small price decline, as soft construction activity and surplus supply restrict upward pricing pressure. In the GCC, prices are expected to remain elevated, with modest QoQ increases, reflecting ongoing supply constraints and higher input costs. Supply disruptions in the GCC, particularly in the KSA and UAE, are adding further regional cost pressure, although upside across Asia remains capped by fragile end‑user demand and the risk of renewed oversupply if production stays elevated.