Stainless Steel Prices Hold Steady Amid Mixed Demand and Policy Developments

Key Takeaways

• Price Changes: Nickel prices dipped by 0.09% to $16,105/mt, while copper rose by 0.37% to $9,035/mt.
• Demand Trends: SS 300 series weak due to liquidity constraints. 400 series demand remains subdued.
• Market Outlook: SS 300 series to remain sluggish; ferritic grades (430, 410S, 409M, 409L) facing low demand. The SS 200 series is expected to perform satisfactorily.

Stainless Steel Prices

• Nickel opened today down by 0.09% at $16,105/mt, while Copper opened today up by 0.37% at $9,035/mt.
• INR opened today against USD at 84.50/-.
• 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 upto the mark.
• SS 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

• Donald Trump announced plans to impose a 25% tariff on imports from Canada and Mexico and a 10% tariff on Chinese goods. While steelmakers support the move, anticipating higher domestic prices, experts warn it could disrupt supply chains and raise costs for U.S. manufacturers.
• Starting December 1, 2024, China will cancel export tax rebates on certain aluminum and copper products. This will raise short-term costs for exporters but aims to boost the value-added and competitiveness of Chinese products in the long term by reducing low-end exports and optimizing industrial capacity.
• Nickel prices showed slight gains in Asian markets and a 1% increase on the LME, trading at around $16,100/MT. The market remains active amid global uncertainties.

Expert Opinion

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