YUSCO to lower stainless steel production

YUSCO to lower stainless steel production

Taiwanese steel producer Yieh United Steel Corp (YUSCO) reportedly will reduce its stainless steel production by 30 percent in July in an attempt to stop prices from falling further. The move means that YUSCO, which produces around 83'000 tons of stainless steel per month, will cut production by nearly 20'000 tons in July. A YUSCO official reminded that the stainless steel prices have been following a downward trend for a couple of months and that distributors have been building up excessive inventories. Therefore, in an effort to stop prices from continuing their fall, the company decided to reduce its production. YUSCO's decision falls in line with similar moves made stainless steel producers such as South Korea's POSCO, Germany's ThyssenKrupp, and Japan's Nisshin Steel.