Stainless Steel Prices Stable Amid Nickel Rebound, Demand Trends Upbeat

Key Takeaways

• Stainless Steel Prices: Nickel and Copper prices down today, despite rising recently. 304 CR wider 2B is at Rs. 197–199/kg, and SS 316L HR imports at Rs. 318–322/kg, ex-Delhi.
• Demand Trends: 200 series sees strong domestic demand due to import shortages, while 300 and 400 series demand improves slightly.
• Nickel Market: Nickel rose by $113/mt on Jan 16, reaching $15,963/mt, up 4.14% YTD.
• Copper Boost: Prices rise due to China’s 5% GDP growth and record copper imports in December.

Stainless Steel Price:

• Nickel opened today down by 1.46% at $15,845/mt, while Copper opened today down by 0.34% at $9,159/mt.

• INR opened today against USD at 86.54/-.

• 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 observed in the past few months.

Stainless Steel News:

• Nickel prices at the LME rose by $113/mt on January 16, closing at $15,963/mt, marking a rebound after a minor dip. So far in 2024, nickel prices have increased by $635/mt (+4.14%). Rising stainless steel futures, a weaker US dollar, and restricted Indonesian quotas supported the trend. Indian stainless steel makers responded with a Rs 2,000/mt hike in 304-grade CR prices.
• South Korea proposed a provisional 21.62% anti-dumping duty on Chinese stainless steel plates to protect its shipbuilding sector. Final measures are expected by June, with immediate relief aimed at stabilizing domestic market dynamics.
• Copper prices continued to rise, fuelled by China's GDP growth of 5% in 2023 and strong industrial output. Optimism about sustained Chinese demand supported price gains, with copper imports reaching a 13-month high in December.

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 choked.