Starting from January 2026, the state will adjust the export tariff policy for certain steel products, aiming to curb low-price disorderly competition, eliminate backward production capacity, and promote high-quality development of the industry. As a manufacturer of prestressed steel strands, GLOBAL OVERSEAS GROUP CORP., LTD. needs to promptly inform you of the potential impact of this change on the supply chain. 

At the policy level: The new policy restricts the export of low value-added products through tax levers. Although prestressed steel strands, as high-end steel products, are not included in the first round of adjustment list, the increase in tariffs on upstream products such as wire rods and ordinary steel wires will directly push up production costs. Meanwhile, the overall capacity optimization of the industry will lead to a reshaping of the market supply structure. 

Market level: The pressure on the cost side, coupled with the expected control of export quotas, is likely to push the domestic steel price center upward. We expect that the raw material cost increase may reach 8-12% by the end of the first quarter, and the high-quality production capacity will give priority to long-term agreement customers, and the delivery cycle of temporary orders may be extended. 

Demand Suggestion: To prevent your project schedule from being affected by supply chain fluctuations, it is recommended that you re-examine the project plan for the first half of 2026 and lock in the usage in advance. The current inventory prices will still be charged according to the original standards, but new orders will need to be re-negotiated based on the cost structure after the implementation of the policy. 

We sincerely request that you provide us with the estimated purchase volume and project schedule for Q1-Q2 of 2026 by February 5th. This will enable us to coordinate production capacity and secure raw materials, ensuring a stable supply for you. The industry adjustment period also presents an opportunity to optimize supply chain cooperation. We look forward to working through the cycle with you to achieve stable development.

We sincerely request that you provide us with the estimated purchase volume and project schedule for Q1-Q2 of 2026 by February 5th. This will enable us to coordinate production capacity and secure raw materials, ensuring a stable supply for you. The industry adjustment period also presents an opportunity to optimize supply chain cooperation. We look forward to working through the cycle with you to achieve stable development.