Green Energy

Flat steel prices remain stable as market participants adopt a wait-and-watch approach. Analysts monitor demand trends post-Diwali, anticipating potential shifts influenced by market sentiment and seasonal factors in the coming weeks.

Primary manufacturers raised prices significantly, with SAIL and VSP leading. RINL’s operational suspension causes shortages, especially in round bars. Secondary market prices rise due to increased demand and limited billet availability, tightening supply across regions.

LME, SHFE, and MCX zinc prices surged amid tightening global supply. The ILZSG revised forecasts, predicting a 164,000-ton deficit in 2024 due to production cuts, especially in Europe and China, driving continued market bullishness.

Primary TMT prices remain strong, driven by ongoing supply shortages. Distributors report rising demand and anticipate further price increases. The Indian government may implement stricter import regulations to curb substandard steel imports, particularly from China, which could further impact supply dynamics and maintain upward pressure on domestic steel prices.

Prices for structure have decreased across secondary markets. Raipur, Mandi, Durgapur and Hyderabad prices dropped, while Chennai remained stable. The RINL plant closure has worsened material shortages, particularly for round bars and large sections. Meanwhile, India's steel ministry is planning to intervene in imports of non-standardized steel to ensure quality.

Zinc prices went up across LME, SHFE, and MCX, driven by global supply constraints and China's economic stimulus measures. LME zinc increased by 2.19%, SHFE by 2.14%, and MCX by 2.28%. Positive macro sentiment, especially US inflation data, also contributed to the bullish momentum, with expectations of high-level fluctuations.

Primar TMT prices have remained strong, with rates in Mumbai and Delhi NCR at Rs. 54,500-55,000/ton, and Rs. 52,500-53,000/ton in Vizag. Material shortages are disrupting supply, and distributors expect further price hikes. Meanwhile, JSW Steel has partnered with BHP and Carbon Clean to advance carbon capture technology in steelmaking to address India’s high emission levels.

Zinc prices have declined across LME, SHFE, and MCX markets due to economic concerns and reduced demand. Supply deficits are anticipated in 2024, driven by lower production in Europe and China, while market sentiment remains cautious following the US Fed meeting.

Primary TMT prices have remained strong across regions. Distributors are anticipating further price hikes due to material shortages impacting supply and demand. Meanwhile, JSW Steel reported a record crude steel production of 6.77 million tons in Q2 FY25, reflecting a 6% year-over-year increase.