Stainless Steel Prices Hold Steady; Tariff Talks Impact Market Outlook

Key Takeaways

• Nickel Prices Dip, Copper Up: Nickel opened at $15,625/mt, a minor 0.1% decline. Copper opened today up by 0.41% at $9,270/mt.
• 200 Series Demand Up: Domestic demand remains strong as import supplies tighten, boosting the upbeat market performance.
• 304 CR Prices Steady: Retail prices range from Rs.197-199/kg in Delhi, maintaining stability despite global fluctuations.
• Outlook Positive: Domestic markets show signs of growth for 200 and 300 series despite cash crunch and trade uncertainties.
• US-EU Trade Tensions: President Trump threatens new tariffs on the EU starting February 1, adding market uncertainty.

Stainless Steel Price:

• Nickel opened today down by 0.1% at $15,625/mt, while Copper opened today up by 0.41% at $9,270/mt.
• INR opened today against USD at 86.37/-.
• Current retail price for 304 CR wider 2B is now running approximately at Rs.197-199/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.

Stainless Steel Demand and Supply:

• Demand is slightly getting better in 300 series, but not that much, due to cash crunch.
• In 400 series also, demand is seen to be increasing.
• 200 series demand has further increased and is upbeat, due to shortage of imported material.
• No.4 PVC material demand is still on the rise as expected, both in 200 and 300 series, as has been observed in the past few months.

Stainless Steel News:

• President Donald Trump has warned the European Union of potential new tariffs starting February 1 to address the trade imbalance between the two major economies.
• In 2024, China exported 5.04 million mt of stainless steel, a significant 25.6% increase year-on-year, marking a historic high, according to the General Administration of Customs (GACC).
• The stainless steel water bottle market is projected to grow from $1.25 billion in 2023 to $2.41 billion by 2033, with a CAGR of 6.79%, per Spherical Insights & Consulting.
• Copper prices fell by 0.3% to Rs 831.2 due to President Trump’s proposed 10% tariff on Chinese imports. Market caution persists ahead of the Lunar New Year and key interest rate decisions, while Chile revised its long-term copper production forecast downward.

Expert Opinion:

• 300 series prices are expected to rise in the current scenario, since USD is high.
• 400 series prices are also expected to remain on the steeper side, because of the BIS issue.
• 200 series is also expected to perform very well domestically, as imports are disrupted.