en.Wedoany.com Reported - In the first half of 2026, China's total imports of stainless steel scrap reached approximately 101,254 metric tons, an 87% increase compared to the same period in 2025. Market analysis firm Mysteel Global attributed this sharp rise to multiple factors: a low base in H1 2025, China's increasingly diversified import sources, and tightening nickel supply from Indonesia.

Looking at June alone, imports stood at about 22,322 metric tons, up 25.8% month-on-month and surging 146.9% year-on-year.

Japan remained China's largest supplier of stainless steel scrap. From January to June, imports from Japan totaled 47,915 metric tons, up 59.3% year-on-year; June shipments alone rose to 13,521 metric tons, soaring 97.3% month-on-month and 136.4% year-on-year.

The structure of import sources is shifting. Thailand has emerged as a key supplementary source, exporting 17,352 metric tons to China in H1, a staggering 673.1% increase year-on-year. Malaysia supplied 10,294 metric tons, down 24.3% from the same period last year. Mysteel Global observed that the expansion of stainless steel production capacity in Southeast Asia has generated more scrap for recycling, and the region's proximity and lower logistics costs have made Chinese procurement increasingly convenient.

The growth in scrap imports coincides with Indonesia's significant reduction in its 2026 nickel mine work plan and budget (RKAB) quotas, a move that has tightened global nickel supply and driven up nickel pig iron (NPI) prices. Analysts believe that for Chinese stainless steel mills, imported scrap can serve as a low-cost alternative to NPI, helping to alleviate rising raw material cost pressures.

The base effect also amplified the year-on-year growth rate—import volumes in 2025 were relatively low. However, sources noted that compared to China's massive stainless steel production capacity, total imports in H1 remain modest.