Global Stainless Steel Market Sees Mixed Signals Across Products

Key Takeaways

• Price Overview: SS 304 CR is priced at Rs.195-198/kg, while 316L HR ranges from Rs.318-322/kg, ex-Delhi, plus GST. Domestic stainless steel scrap prices show strong rates.
• Demand Trends: The 200 series is witnessing increased demand, driven by reduced imports and rising interest in No.4 PVC finishes.
• Global Influences: Potential changes in EV tax credits could shift demand patterns for stainless steel in automotive applications.
• Nickel Surplus: Global nickel production exceeded consumption, with a surplus of 70,000 mt from January to September.

Stainless Steel Prices

• Nickel opened today up by 1.3% at $16,020/mt, while Copper opened today up 0.86% at $9,045/mt.
• INR opened today against USD at 84.36/-.
• Current retail price for 304 CR wider 2B is now running approximately at Rs.195-198/kg basic price range, ex-Delhi, while for narrow, it is approximately Rs.3-5/kg cheaper, plus GST.
• SS 316L HR imported material is now being retailed in the price range of Rs.318-322/kg for HR wider. Indian material is expensive by Rs.5-10/kg. For CR wider, the rates are Rs.10/kg higher than HR.SS 201 imported CR 2B (extra low thicknesses like 0.26mm) is being retailed at Rs. 165-167/kg, ex-Delhi, plus GST.
• Domestic 201 (cheapest grade) is now being retailed in the price range of Rs.143-145/- base price (plus thickness difference extra), plus GST.
• Indian flat stainless steel producers are buying scrap after the service of the finished-goods at the following latest prices (plus GST):- 304: Rs.1,27,886/mt 316L: Rs.2,25,065/mt J5 Patta: Rs.72,000/mt J8 Patta: Rs.70,000/mt 430: Rs.56,317/mt

Stainless Steel Demand and Supply

• Demand is still low in the 300 series due to cash crunch.
• In the 400 series also, demand is not up to the mark.
• 200 series demand has rather increased and is upbeat, due to lack of imported material.
• No.4 PVC material demand is still on the rise, both in 200 and 300 series, as observed in the past few months.

Stainless Steel News

• Austrian authorities approved Acerinox's acquisition of Haynes International, completing regulatory requirements after approvals from the US and UK. The deal, expected to close by November-end, strengthens Acerinox's foothold in high-performance alloys with three new US factories.
• In September, global refined nickel production (288,000 mt) outpaced consumption (285,000 mt). The January-September period saw an excess of 70,000 mt, despite a total production of 2.72 million tons of nickel ore.
• Trump's team plans to eliminate the US$7,500 tax credit for EV buyers. While Tesla may weather the change, competitors could face significant challenges.

Expert Opinion

• The 300 series is expected to continue its dull run in the recent scenario.
• The 430 and 410S performance is being marked as average, while 409M & 409L in ferritic grades are expected to be continuing in the dull category due to lack of demand.
• The 200 series is expected to be performing satisfactorily in all grades and finishes, especially in thinner sections and No.4 PVC/Matte Finishes.