Railways

DI and ERW pipe markets are facing a slowdown due to liquidity crunch and monsoon-related project delays. Despite weak demand, prices remain stable at multi-quarter lows. Manufacturers are offering bulk discounts, expecting a revival by August-September, driven by smart city, AMRUT 2.0, and Jal Jeevan Mission tenders.

Stainless steel prices remain steady across most grades, with the 200 series showing bullish momentum due to limited imports. While 300 series demand is subdued, select shortages are supporting price stability. Scrap procurement remains active, and long-term sector growth is driven by infrastructure and urbanization, as highlighted by ISSDA data.

Polyethylene prices rose moderately across Asia, led by LDPE amid tight supply and crude-driven cost pressure. However, weak demand from agricultural and pipe sectors capped the upside. Ongoing plant shutdowns globally, including in China, Egypt, and Israel, are reinforcing short-term supply tightness, keeping price sentiment steady despite soft downstream activity.

Steel prices have declined across North, West, and South India, with Ex-Mumbai, Delhi NCR, and Vizag quoting lower rates amid sluggish demand. Distributors are maintaining ample inventories, ensuring smooth availability. Meanwhile, the Ministry of Steel’s abrupt BIS compliance order on inputs threatens disruption, especially for MSMEs and steel importers.

Steel prices across both primary and secondary markets have softened, with secondary mills witnessing deeper cuts due to payment delays, stock overhang, and weak consumption. Monsoon-driven yard clearance and muted institutional buying post-election have added pressure. Mills are deploying discounts and deferred payment terms to manage liquidity and sustain dispatch volumes.

Stainless steel prices in India remain stable to firm, with 200 series showing strong domestic demand due to limited imports. 304 and 316L grades are stable, while scrap prices stay elevated. Stainless steel consumption in India has grown 84% over five years, driven by infrastructure and transport sectors, with further growth expected.

India’s PVC market is expanding, driven by infrastructure and agriculture growth. With imports filling the supply gap, low-cost Chinese PVC—often non-compliant with BIS norms—is raising serious safety and quality concerns. Despite robust demand, weak QCO enforcement continues to challenge domestic manufacturers striving for regulatory compliance and long-term market sustainability.

Primary TMT prices fell again across Delhi NCR, Mumbai, and Vizag due to sustained weak demand. Sellers continue cutting prices to stay competitive, while distributors maintain sufficient stock to avoid supply issues. Experts warn of further price corrections if demand doesn’t rebound soon, despite supply-side stability and strategic production cuts by manufacturers.

The Indian polymer market remains subdued amid monsoon-driven demand slowdown and global freight issues. While domestic suppliers offer incentives to stimulate sales, geopolitical tensions—especially the Strait of Hormuz crisis—are driving crude prices higher, impacting raw material costs. BIS compliance deadlines are also reshaping sourcing behavior toward certified domestic suppliers.