Stainless Steel Market: 200 Series Outperforms on Reduced Imports, Demand Slump in 300 Series

Key Insights

• Weak Demand in 300 Series: Weak demand persists due to cash constraints. Continued sluggishness expected in future.
• SS 400 Series Demand Low: Demand remains subdued. Ferritic grades like 409M and 409L also weak.
• SS 200 Series Prices Strong: Strong performance driven by reduced imports and rising No.4 PVC demand.
• Nickel Price Increase: Global nickel prices rose, but oversupply concerns remain.

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Stainless Steel Prices

• Nickel opened today unchanged at $15,785/mt, while Copper opened today up by 0.32% at $9,117/mt.
• INR opened today against USD at 84.39/-.
• 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 300 series due to cash crunch.
• In 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 has been observed in the past few months.

Stainless Steel News

• The US Department of Commerce lifted AD and CVD measures on refillable stainless steel kegs from China and Mexico due to no responses from domestic parties.
• Viraj Profiles Limited launched a Piercer Mill in Boisar, Maharashtra, to produce high-strength seamless stainless steel pipes, marking its entry into this high-demand segment.
• Tata Steel plans to import liquid hydrogen from Norway to Amsterdam for green steel production, with agreements for transport, storage, and CO2 capture for offshore storage in Norway.
• LME nickel prices rose by $189/mt to $15,729/ton, driven by lower prices attracting buyers. However, the market remains oversupplied with weak demand.

Expert Opinion

• SS 300 series is expected to continue its dull run, in the recent scenario.
• SS 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 a 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.