Stainless Steel Prices Stable Amidst Economic Challenges

Key Takeaways

• Price Movements: Nickel prices are rising, while copper shows slight declines, impacting stainless steel costs.
• Mixed Demand: The 300 series is experiencing reduced demand due to market financial constraints, whereas the 200 series maintains strength due to limited imports.
• Industry Developments: Positive projections for copper and aluminum suggest potential market recovery, despite production challenges for some companies.
• Future Outlook: Experts predict a sluggish market for the 300 and 400 series, while the 200 series may thrive, particularly in special finishes, amid ongoing supply constraints.

Stainless Steel Prices

• Nickel opened today up by 0.47% at $16,195/ton, while Copper opened today down by 0.07% at $9,596/ton.
• INR opened today against USD at 84.08/-.
• Current retail price for 304 CR wider 2B is now running approximately at Rs.198-201/kg basic price range, ex-Delhi, while for narrow, it is approximately Rs.3-5/kg cheaper, plus GST.
• SS 316L imported material is now being retailed in the price range of Rs.320-324/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. 143-148/kg, ex-Delhi, plus GST.
• Domestic 201 (cheapest grade) is now being retailed in the price range of Rs.140-143/- base price (plus thickness difference extra), plus GST.

Stainless Steel Demand and Supply

• Demand has gone down at present in 300 series, due to lack of funds, in the market.
• Even in ferritic grades, demand is not that great.
• 200 series demand is still there, due to lack of imported material.
• No.4 PVC material demand is on the rise, both in 200 and 300 series, due to a lack of production of this finish from the domestic suppliers & scarce availability of stock.

Stainless Steel News

• Goldman Sachs has raised its 2025 average copper price forecast slightly from $10,100 to $10,160 per ton, reflecting optimism about the copper market, particularly driven by insights into the Chinese economy. The firm also increased its aluminum price forecast for 2025 from $2,540 to $2,700 per ton, anticipating stronger demand from China due to economic stimulus measures.
• Anglo American reported a 13% year-on-year decline in copper production for Q3, falling short of expectations. Despite this, the company maintains its full-year production target for 2024, signaling confidence in its operations.
• In September, China’s ferronickel imports surged to 737,000 tons, up 41.2% from August, driven by seasonal demand from steel mills. However, nickel ore imports fell by 7.4% month-on-month to 4.57 million tons, primarily from the Philippines, which is expected to reduce exports due to the rainy season.
• Viraj Profiles Ltd has inaugurated its new Piercer Mill, marking its entry into the high-value seamless pipe segment, which is critical for applications requiring high strength and pressure resistance.

Expert Opinion

• 300 series is expected to have a dull run in the present and upcoming week, because of payment shortage and upcoming festive holidays.
• 400 series performance is also expected to be dull, except 410S grade, where there will be considerable demand in thinner gauges.
• The 200 series is expected to be performing satisfactorily, in special finishes like N4P (Matte PVC) & N8P (Mirror PVC) owing to the lack of imported products in the market.