A move by US President Donald Trump to slap a 25 percent tariff on all steel imports is expected to place Taiwan-made steel, which already has a 25 percent tariff, on an equal footing, the Taiwan Steel & Iron Industries Association said yesterday.
Speaking with CNA, association chairman Hwang Chien-chih (黃建智) said such an equal footing is expected to boost Taiwan’s competitive edge against other countries in the US market, describing the tariffs as "positive" for Taiwanese steel exporters.
On Monday, Trump signed two executive orders imposing the new metal tariffs on imported steel and aluminum with no exceptions and exemptions, effective next month.
Photo courtesy of China Steel Corp
According to foreign media reports, Taiwan ranked the eighth largest steel exporter to the US market last year, selling 1.01 million tonnes of steel products, behind Canada (6.56 million tonnes), Brazil (4.50 million tonnes) and Mexico (3.52 million tonnes).
Hwang, also chairman of China Steel Corp (中鋼), the largest steel maker in Taiwan, said the new executive orders, which will take away an exemption status from Canada, Mexico, Japan and the European Union, are expected to help Taiwan sell more steel products to the US.
The tariffs are also expected to push up steel prices in the US market, benefiting Taiwanese exporters, he said.
Prices of hot rolled steel products have risen to US$837 per tonne from US$767 since Trump took office on Jan. 20, and the prices could hit US$1,000 per tonne shortly due to the tariffs, he added.
Meanwhile, an executive from Yieh Phui Enterprise Co (燁輝), another major steel supplier in Taiwan, said the 25 percent tariffs mainly targeted the leading exporters such as Canada and Mexico, which enjoyed a large trade surplus with the US.
Once the new tariffs become effective, the executive said steel imports to the US market are expected to move lower, which could push up product prices there and allow Yieh Phui to improve its profitability. Currently, the US market accounts for half of the company’s total exports, he said
Chung Hung Steel Corp (中鴻), another Taiwanese steel maker, said the new tariffs will change the current unfair competition in the US market as many countries enjoy an exemption, a positive trend to Taiwan.
However, Hwang said Trump’s tariffs on steel could cut both ways for Taiwanese exporters.
He said these countries which will be taking away tariff exemption are likely to ship their products to other markets such as Asia or Europe at lower prices to make up the losses in sales in the US, which could place Taiwan under new competition.
He added as the new tariffs will not go into effect until March, Trump could change his mind before that, urging Taiwanese exporters to keep a close eye on the situation.
Greek tourism student Katerina quit within a month of starting work at a five-star hotel in Halkidiki, one of the country’s top destinations, because she said conditions were so dire. Beyond the bad pay, the 22-year-old said that her working and living conditions were “miserable and unacceptable.” Millions holiday in Greece every year, but its vital tourism industry is finding it harder and harder to recruit Greeks to look after them. “I was asked to work in any department of the hotel where there was a need, from service to cleaning,” said Katerina, a tourism and marketing student, who would
i Gasoline and diesel prices at fuel stations are this week to rise NT$0.1 per liter, as tensions in the Middle East pushed crude oil prices higher last week, CPC Corp, Taiwan (台灣中油) and Formosa Petrochemical Corp (台塑石化) said yesterday. International crude oil prices last week rose for the third consecutive week due to an escalating conflict between Israel and Iran, as the market is concerned that the situation in the Middle East might affect crude oil supply, CPC and Formosa said in separate statements. Front-month Brent crude oil futures — the international oil benchmark — rose 3.75 percent to settle at US$77.01
Merida Industry Co (美利達) has seen signs of recovery in the US and European markets this year, as customers are gradually depleting their inventories, the bicycle maker told shareholders yesterday. Given robust growth in new orders at its Taiwanese factory, coupled with its subsidiaries’ improving performance, Merida said it remains confident about the bicycle market’s prospects and expects steady growth in its core business this year. CAUTION ON CHINA However, the company must handle the Chinese market with great caution, as sales of road bikes there have declined significantly, affecting its revenue and profitability, Merida said in a statement, adding that it would
UNCERTAINTIES: The world’s biggest chip packager and tester is closely monitoring the US’ tariff policy before making any capacity adjustments, a company official said ASE Technology Holding Inc (日月光投控), the world’s biggest chip packager and tester, yesterday said it is cautiously evaluating new advanced packaging capacity expansion in the US in response to customers’ requests amid uncertainties about the US’ tariff policy. Compared with its semiconductor peers, ASE has been relatively prudent about building new capacity in the US. However, the company is adjusting its global manufacturing footprint expansion after US President Donald Trump announced “reciprocal” tariffs in April, and new import duties targeting semiconductors and other items that are vital to national security. ASE subsidiary Siliconware Precision Industries Co (SPIL, 矽品精密) is participating in Nvidia
RSS