Stainless Steel Prices Hold Firm as Demand Improves in 200 & 400 Series

Key Takeaways

• Stainless Steel Price Trends: Nickel and copper opened lower; 304 CR wider 2B at Rs 199-200/kg; 316L HR imported at Rs 320-323/kg.
• Demand Update: 300 series demand is improving slightly; 400 series is strengthening; 200 series is optimistic due to import constraints. 
• Global Trade Impact: South Korea extended anti-dumping duties on Vietnamese stainless steel; Taiwan’s major mills raised prices; US imposed new import tariffs. 
• Market Outlook: 300 series prices expected to rise due to USD impact; 400 series to remain high due to BIS issues; 200 series likely to stay strong due to limited imports.

Stainless Steel Price:

• Nickel opened today down by 1.13% at $15,815/ton, while Copper opened today down by 1.63% at $9,542/ton.
• INR opened today against USD at 85.67/-.
• Current retail price for 304 CR wider 2B is now running approximately at Rs.199-200/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.320-323/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:

• The cash constraint is causing demand in the 300 series to marginally improve, but not significantly.
• Demand in the 400 series is also seen to be rising. 
• Due to the lack of imported material, demand in the 200 series has climbed even more and is optimistic.
• As anticipated, No. 4 PVC material demand has continued to increase in recent months for both the 200 and 300 series.

Stainless Steel News:

• South Korea extended the provisional anti-dumping duty on Vietnamese cold-rolled stainless steel by three months, now ending on July 18. Duties range from 3.66% to 11.37%, with specific rates for different manufacturers.
• Taiwan’s Yusco, Tang Eng, Walsin Lihwa, and Yieh Hsing raised stainless steel prices for April due to demand, cost hikes, and currency depreciation. Increases vary by series, with 304 series up NT$4,000/ton and 430 series up NT$500/ton.
• The US imposed a 10% import tariff from April 5, with additional tariffs of 20%-46% on key partners like China, the EU, and Japan from April 9. A 25% tariff on imported cars starts April 3, increasing costs and inflation risks.

Expert Opinion:

• In the current situation, 300 series prices are anticipated to increase due to the high USD.
• 400 series prices are expected to stay high due to the BIS issue.
• 200 series is also anticipated to do very well domestically due to limited imports.