Indian Stainless Steel Demand Slows; Nickel, Copper Prices Fluctuate

Industry Updates

• Nickel and Copper Price Movements: Nickel dropped by 0.12% to $16,125/mt, while copper increased by 0.38% to $9,733/mt, influenced by market conditions.
• Demand in Stainless Steel: Demand for 300 series is weak due to funding shortages, while the 200 series thrives due to limited imported material.
• Global Market Developments: Malaysia reviews anti-dumping duties on cold-rolled stainless steel imports and Taiwan’s imports from Vietnam surged. China’s stainless steel imports dropped, while exports increased, reflecting global trade shifts.

Price

• Nickel opened today down by 0.12% at $16,125/mt, while Copper opened today up by 0.38% at $9,733/mt.
• INR opened today against USD at 84.13/-.
• The current retail price for 304 CR wider 2B is now running approximately at Rs.198-201/kg basic price range, ex-Delhi, while for narrow, it is approximately Rs.3-5/kg cheaper. Plus GST.
• SS 316L imported material is now being retailed in the price range of Rs.320-324/kg for HR wider. Indian material is more 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.143-148/kg, ex-Delhi, plus GST.
• Domestic 201 (cheapest grade) is now being retailed in the price range of Rs.140-143/kg base price (plus thickness difference extra), plus GST.

Stainless Steel Demand and Supply

• Demand has gone down at present in the 300 series due to lack of funds in the market.
• Even in ferritic grades, demand is not that great.
• The 200 series demand is still there due to the lack of imported material.
• No.4 PVC material demand is on the rise, both in the 200 and 300 series, due to the lack of production of this finish from domestic suppliers and scarce availability of stock.

Global Stainless Steel News

• Malaysia’s Ministry of Investment, Trade, and Industry (MITI) launched an administrative review of anti-dumping duties on cold-rolled stainless steel imports from China, Indonesia, South Korea, Taiwan, Thailand, and Vietnam. This review follows the cessation of production by Bahru Stainless Sdn Bhd in June 2024. Interested parties can submit comments until November 15, 2024.
• The London Metal Exchange (LME) nickel futures rose by US$63 to US$16,007/mt on November 4, while the spot price also surged by US$59 to US$15,748.5/mt. Nickel inventory increased by 342 tons. A weakening US dollar, typhoon disruptions, and rising trading activity contributed to price increases, despite higher inventories.
• Taiwan’s stainless steel mills raised 304 product prices by NT$3,000/mt for November. Despite higher market prices, the price increase has yet to be fully accepted. The market sentiment improved following Vietnam’s decision to remove anti-dumping duties on Taiwanese cold-rolled stainless steel, prompting southern Taiwan sellers to eye the Vietnamese market.
• Taiwan’s cold-rolled stainless steel imports from Vietnam surged to 17,377 tons in the first three quarters of 2024, up 31 times compared to last year. The increase is driven by Vietnam’s ability to produce thicker stainless steel, which is in demand for engineering applications. Imports from Vietnam now surpass those from Japan.
• China’s stainless steel imports dropped 20.4% in September to 120,000 tons, while exports rose by 33.7% to 459,000 tons. In total, China’s stainless steel imports reached 1.45 million tons in 2024, up 4.4% year-on-year. Exports grew 19.8%, totaling 3.7 million tons, with consumption rising 1.28% year-on-year.
• The Turkish White Goods Manufacturers Association (TÜRKBESD) expressed concerns over anti-dumping investigations that may increase production costs for materials like stainless steel and sheet metal. The potential 5% price hike could impact international competitiveness, with sales in the domestic white goods market falling by 15% in September.
• Following China’s PMI return to expansion at 50.1 points in October, raw material prices began rising. This coincided with an alumina supply shortage and a 12% drop in social aluminum inventories. Chinese stock markets saw significant gains, with the Shanghai CSI 1000 up by 3.5%, reflecting positive market sentiment.

Export Opinion

• The 300 series is expected to have a dull run in the present and upcoming week due to payment shortages and the upcoming festive holidays.
• The 400 series performance is also expected to be dull, except for the 410S grade, where there will be considerable demand in thinner gauges.
• The 200 series is expected to perform satisfactorily, especially in special finishes like N4P (Matte PVC) and N8P (Mirror PVC) owing to the lack of imported products in the market.