Stainless Steel Prices Surge Amid Higher Nickel Rates and Tight Supply

Stainless Steel Price

• Nickel opened today up by 0.21% at $16,790/ton, while Copper opened today down by 0.13% at $10,068/ton.
• INR opened today against USD at 83.63/-.
• 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.317-321/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 is slightly better in 304 & 316L (CR & HR), in generic sizes, as compared to previous 2 months.
• Not much demand is there in ferritic grades, except some railway fabrication usage in 409M/X2CrNi12/IRSM 44-97 grades.
• Good demand is being observed in No.4/Matte PVCfinish in 201 grades, due to short supply from domestic players, and non-renewal of BIS for imported material.
• Decent demand is also being observed in 304 narrow sizes, for applications like pipes and tubes or rerolling usages, due to short supply in imported material.

Stainless Steel News

• The LME nickel futures continued the upward trend on September 25, up by US$86, closing at US$16,796/ton, racing a new high this month. The spot price also increased by US$89 to US$16,554/ton.
• Shanghai Nickel prices saw a 1.31% increase, while stainless steel futures rose by 1.56% in recent days, driven by China’s bullish financial policies.
• China’s stainless steel imports totalled 99,500 tons in August, falling by 16.8% compared to the previous month and by 43% from the same month a year ago.
• Tata Steel Nederland announced the initiation of a new decoiling line and an automated sheet packaging line at its Feijen steel service center in Maastricht.

Expert Opinion

• Both 304 & 316L are expected to have a medium to good run in this week, owing to the slight raw material price increase.
• The 400 series is continuing with its dull run, due to the lack of demand in ferritic grades.
• The 200 series is still performing strongly, in special finishes like N4P (Matte PVC) & N8P (Mirror PVC) owing to the lack of imported products in the market.