Flat Steel Prices Remain Stable with Potential for Increases Amid Strong Demand
%2Fhttps%253A%252F%252Fofbadmin.s3.ap-southeast-1.amazonaws.com%252Fnexizo%252Fproduction%252Fstrapi%252FFlat_Steel_CRC_8_171deea8c1.png&w=1920&q=100)
Flat steel prices have remained stable across key markets, with HRC and CRC prices unchanged from the previous day. Demand is expected to stay strong due to ongoing infrastructure and construction projects, automotive needs, and manufacturing sector activity. The sentiment is cautiously optimistic as buyers and distributors prepare for potential cost increases in the near term.
Key Takeaways
- Price Stability: Flat steel prices, including HRC and CRC, remain unchanged across multiple markets; however, increases are anticipated soon.
- Demand Drivers: Infrastructure projects, automotive demand, and a stable housing market will continue supporting steel demand.
- Upcoming Price Hikes: Indian major steel mills are likely to raise HRC prices by up to Rs 1,000/mt in November due to higher production costs and strong demand.
- Raw Material Impact: Increases in coking coal and iron ore prices could drive production costs higher, potentially impacting steel availability.
- Market Outlook: The next 10 days are expected to see steady demand, with possible price fluctuations and supply chain challenges, as buyers secure inventory to hedge against rising costs.
Flat Steel Prices
- Markets reported no price changes in HRC & CRC as compared to the previous day in a few geographical locations. The prices of flat products in various markets are as below: HRC offers
- Ex-NCR/Delhi: Rs. 50,500/ton
- Ex-Mumbai: Rs. 50,500/ton
- Ex-Ahmedabad: Rs. 51,200/ton
- Ex-Chennai: Rs. 51,000/ton
- Ex-Kolkata: Rs. 49,200/ton
- Ex-Hyderabad: Rs. 50,200/ton
CRC offers
Ex-NCR/Delhi: Rs. 58,000/ton
Ex-Mumbai: Rs. 60,700/ton
Ex-Ahmedabad: Rs. 62,000/ton
Ex-Chennai: Rs. 60,700/ton
Ex-Kolkata: Rs. 59,000/ton
Ex-Hyderabad: Rs. 59,800/ton
PM Plates prices for Kolkata stand at around Rs. 55,500/ton and Rs. 55,700/ton for Hyderabad on an ex-works basis, respectively.
Flat Steel Demand and Supply
- Steel demand in India for November 2024 is expected to remain steady to strong, driven by ongoing government infrastructure projects, seasonal construction upticks, and consistent demand from the automotive and manufacturing sectors.
- The housing market, especially affordable housing, will continue to support steel consumption, while steel exports to regions like Southeast Asia and the Middle East are also projected to remain solid. Raw material prices, particularly coking coal and iron ore, could influence production costs and steel availability, potentially leading to price hikes.
- Despite some logistical challenges and inflationary pressures, the market sentiment is cautiously optimistic, with demand expected to stay stable and prices slightly higher.
Flat Steel News
- India’s major steel mills are set to raise Hot Rolled Coil (HRC) prices by up to Rs 1,000/mt in November 2024 due to strong demand, stable market conditions, and rising production costs, driven by higher raw material prices and logistical challenges. This increase will affect both domestic and export markets.
Expert Opinion
- The steel market sentiment for the next 10 days is expected to be cautiously optimistic. Demand will remain steady, driven by ongoing infrastructure projects and construction activity post-monsoon, as well as stable demand from the automotive and manufacturing sectors.
- Price fluctuations are anticipated, with some major mills expected to increase prices by up to Rs 1,000/mt, prompting buyers to secure inventory. Supply chain disruptions and raw material cost volatility could create short-term challenges, while the upcoming festival season may boost demand, particularly in housing and construction.
- Overall, the market will stay vigilant amidst these dynamics, balancing steady demand with potential price and supply uncertainties.
Daily Market Report
%2Fhttps%253A%252F%252Fofbadmin.s3.ap-southeast-1.amazonaws.com%252Fnexizo%252Fproduction%252Fstrapi%252FChannel_2_00cb32a7ce.png&w=3840&q=75)
Structure Prices Surge: Primary Mills Drive Price Hikes Amidst RINL Shutdown
Structural steel prices have increased, with SAIL increasing by Rs 2000/ton and other major players following suit. The scarcity of RINL material and shutdowns are impacting supply, while secondary mills face rising costs due to growing TMT demand. However, government intervention is being planned to address RINL's financial woes.
Read Story
%2Fhttps%253A%252F%252Fofbadmin.s3.ap-southeast-1.amazonaws.com%252Fnexizo%252Fproduction%252Fstrapi%252Ftmt_4_f1e676f185.png&w=3840&q=75)
TMT Prices Stable, Demand Surge Expected
Primary TMT prices remained stable in the last week of August, with Mumbai and Delhi NCR prices at Rs. 50,500-51,000/ton and Vizag at Rs. 49,000-49,500/ton. Distributors anticipate increased demand as the monsoon ends, potentially leading to price hikes in September.
Read Story
%2Fhttps%253A%252F%252Fd86af0gufpxog.cloudfront.net%252Funsafe%252Fadaptive-fit-in%252F105x89%252Ffilters%253Aformat(webp)%252Fhttps%25253A%25252F%25252Fofbadmin.s3.ap-southeast-1.amazonaws.com%25252Fnexizo%25252Fproduction%25252Fstrapi%25252FHR_Plate_4c9d03721e.png&w=3840&q=75)
%2Fhttps%253A%252F%252Fd86af0gufpxog.cloudfront.net%252Funsafe%252Fadaptive-fit-in%252F105x89%252Ffilters%253Aformat(webp)%252Fhttps%25253A%25252F%25252Fofbadmin.s3.ap-southeast-1.amazonaws.com%25252Fnexizo%25252Fproduction%25252Fstrapi%25252FCRC_cec6577b20.png&w=3840&q=75)
%2Fhttps%253A%252F%252Fd86af0gufpxog.cloudfront.net%252Funsafe%252Fadaptive-fit-in%252F105x89%252Ffilters%253Aformat(webp)%252Fhttps%25253A%25252F%25252Fofbadmin.s3.ap-southeast-1.amazonaws.com%25252Fnexizo%25252Fproduction%25252Fstrapi%25252Fhot_rolled_steel_coil_roll_o0_Q4an9_600_fe306f6654.jpg&w=3840&q=75)
%2Fhttps%253A%252F%252Fd86af0gufpxog.cloudfront.net%252Funsafe%252Fadaptive-fit-in%252F105x89%252Ffilters%253Aformat(webp)%252Fhttps%25253A%25252F%25252Fofbadmin.s3.ap-southeast-1.amazonaws.com%25252Fnexizo%25252Fproduction%25252Fstrapi%25252FTMT_Fe_550_D_d1944141c6.png&w=3840&q=75)
%2Fhttps%253A%252F%252Fd86af0gufpxog.cloudfront.net%252Funsafe%252Fadaptive-fit-in%252F105x89%252Ffilters%253Aformat(webp)%252Fhttps%25253A%25252F%25252Fofbadmin.s3.ap-southeast-1.amazonaws.com%25252Fnexizo%25252Fproduction%25252Fstrapi%25252F16493_1317_image_0_d2f7b743ad.jpg&w=3840&q=75)
%2Fhttps%253A%252F%252Fnexizo.ai%252Fassets%252Fbg-png-msite.png&w=3840&q=30)