one、Supply and demand patterns and price trends
l The pressure on the supply side is high：In March 2025, the domestic output of crude stainless steel reached 3.5026 million tons, setting a new record for the same period in history. Coupled with the 17.38% year-on-year increase in inventory in the Foshan market, the problem of oversupply was prominent.
l The demand recovery is slow.The pace of resumption of work in downstream infrastructure and real estate is relatively slow. The terminal market mainly relies on basic demand purchases, and transactions mostly depend on low-priced individual orders. The market is in a wait-and-see mood.
l Cost support is inverted with profitThe prices of raw materials such as ferronickel and ferrochromium remain at a high level.The production cost of 304 cold-rolled steel is approximately 13,080 yuan per ton, but the market transaction price is only 12,750-13,050 yuan per ton, and the profit of the industrial chain continues to be inverted。
2、Export restrictions and trade frictions
l The United States imposed additional taxes on imported steelThe export volume of Southeast Asian re-export channels (such as Vietnam and India) has shrunk due to the obstruction of anti-dumping duty policies with a 25% tariff.
l Foshan, as a national stainless steel export base, accounts for a large proportion of the national export volumeMore than 40%. Enterprises have to deal with trade barriers from multiple countries, and the difficulty of exports has significantly increased.
one、Analysis of Difficulties
l Price war and low profitsThe low industry threshold leads to cut-throat competition, and the profit of color plates is lowThe price has dropped from 20 yuan per piece to 2 to 4 yuan per piece, and some enterprises are operating at a loss.
l Technological homogenizationMost enterprises rely on low-end products and lack differentiated competitiveness, making it difficult for them to meet the demands of the high-end market.
l Compliance riskRe-export trade relies on certificates of origin from third countries (such as Malaysia)The CO certificate is susceptible to the review of the target country.
2、Solutions for small and medium-sized enterprises
l Joint procurement reduces costs：Small and medium-sized enterprises can reduce raw material costs through joint procurement; Strengthen cooperation with suppliers and stabilize the purchase prices of raw materials.
l Strengthen brand building：Establish a good brand image and enhance market competitiveness by improving product quality, optimizing after-sales service and strengthening brand promotion。
l Digital transformationUtilize Internet platforms and social media for online promotion, expand online sales channels, and achieve the integration of online and offline
l Market diversification：Reduce reliance on the European and American markets, explore emerging markets such as South America and Africa, and expand channels through cross-border e-commerce platforms，Increase the consumer group。
l Technological innovation and research and development：Increase investment in research and development, develop new products to meet market demands, and at the same time improve production efficiency and product quality
l Policy utilizationRelying on FoshanThe "Digital transformation and intelligent transition" policy, applying for technological transformation subsidies, and participating in "challenge and response" project to solve common technical problems.
1. Diversified channels
l Online"Offline integration": ThroughShowcase products on B2B platforms (such as VOOEC) and independent websites, and enhance brand exposure by integrating offline exhibitions (such as the Canton Fair).
l Industrial chain synergyEstablish long-term cooperation with downstream decoration engineering and elevator manufacturing enterprises, and provide customized services (such as elevator color plates, cabinet color plates).
2. Optimization of regional layout
l Deeply cultivate local clustersBy taking advantage of the agglomeration of the stainless steel industrial chain in Foshan (such as the Chencun Town Logistics Center), the logistics and procurement costs can be reduced.
l Layout overseas production capacitySet up factories in Southeast Asia (such as Vietnam) to circumvent tariff barriers, or cooperate with local enterprises to establish distribution networks.
3. Brand and Service System
l Strengthen brand positioningHighlighting environmental protection, corrosion resistance and other features, it is craftedDifferentiated labels such as "Cultural Stainless Steel" attract high-end customers.
l Improve after-sales guaranteeEstablish a rapid response mechanism and provide quality traceability services to make up for the shortcomings of pure traders in the after-sales link.
l High-end transformationExtend into the field of deep processing and develop high-tech products such as composite coils and ultra-thin precision foils.
l Intelligent and green production: IntroduceAI quality inspection and low-carbon smelting technology respond to the demands of the "dual carbon" policy and enhance ESG competitiveness.
l Policy and capital are combinedBy leveraging the support of Foshan Science and Technology Innovation Fund and government guidance funds, accelerate technological research and development as well as market expansion.
In 2025, the market for custom color stainless steel plates in Foshan is confronted with challenges such as oversupply, blocked exports and compressed profits. However, through technological innovation, market diversification and policy coordination, small and medium-sized enterprises can still break through. The layout should focus on high value-added products, intelligent production and global channels, while relying on the advantages of local industrial clusters to build long-term competitiveness.
