Stainless Steel Market Update

Date: July 17, 2024

The A-share market closed with two down and one up index, mainly fluctuating throughout the day.

Stainless Steel Futures and Spot Market

The futures market for stainless steel showed weakness, falling below the 13,900 mark in the morning and recovering slightly before falling again. In the afternoon, there was a slight rebound followed by another drop below the 13,800 mark, but it rebounded back above the mark, still closing in the red. The spot market was mostly stable in the morning, with some discounts for transactions, but the mainstream prices remained relatively stable. In the afternoon, as the futures market dived, the market prices for Delong gradually moved closer to the 13,500 base, and some warehouse receipt resources went as low as 13,470 base.

304 Cold Rolled Market

In the morning, the 304 cold rolled market with Tsing Shan agents continued to follow the flat plate price, while traders saw the first wave of some flat, and some specifications fell by 30-50 yuan/ton. The market was still quiet, but some still insisted on high position observation, and the mainstream market prices were still mostly between 13,530-13,600 base.

Afternoon saw a dive in the futures market, and the spot market prices began to fluctuate and fall. Some Delong and other resources returned to sales at the 13,500 base, and some warehouse receipt resources went as low as 13,470 base. High market prices mostly fell, and transactions remained quiet.

304 Hot Rolled Market

For 304 hot rolling, Tsing Shan agents kept the same price quotes, while traders of large plates and Dingxin narrow strips still mostly observed the same, and other sources fell by about 50 due to the impact of the plate, and the market's low price purchase also continued to explore and stimulate the market price to move down.

201 Market

For 201, hot rolling mostly kept the same price quotes, with some offering discounts of 10-30 for transactions; while cold rolling Tsing Shan agents reduced by 50 to accept orders, and market traders also fell by 20-50 to explore, J5 mostly went to 7,930-7,950 base sales, but the actual transaction part has already fallen to 7,900 base, the price is weak, and transactions are still relatively general.

430 Market

For 430, cold and hot rolling quotes are mostly flat, but some cold rolling resources have fallen by about 50 to facilitate transactions for delivery.

Americ Energy (CHINA) Co., Ltd. stands as a prominent manufacturer and distributor of a comprehensive range of stainless steel products, designed to cater to the diverse needs of various industries. Their offerings encompass stainless steel tubes, plates, strips, and square tubes, all manufactured to uphold the highest quality benchmarks.

Stainless Steel Industry News Highlights

Market Dynamics

Stainless Steel Futures: The stainless steel futures contract 2409 increased by 90 to 13,850 CNY/tonne, with the current spot-futures price difference at 120.

Foshan Market: After fluctuating, the stainless steel futures rebounded and stood above the 13,800 mark. Spot market prices for 304 cold-rolled materials showed mixed movements, with some falling 20-50 to facilitate transactions, while others slightly increased. However, trading remained quiet.

Wuxi Market: Inquiries in the morning showed that the mainstream quoted price for 304 cold-rolled four-foot materials in the private sector was 13,500 CNY/tonne, unchanged from last Friday; the hot-rolled price was 13,350 CNY/tonne, up 50 from the previous Friday.

Industry News

Ningbo Baoxin's Order Growth: Ningbo Baoxin reported a 34% year-on-year increase in BA plate order volume in the first half of the year, along with growth in other product categories.

Anti-dumping Announcement: China's Ministry of Commerce has announced the continuation of anti-dumping duties on stainless steel billets and hot-rolled coils from the EU, UK, South Korea, and Indonesia, following the expiration review investigation.

Trial Production of Stainless Steel Heat Exchanger Tubes: A 30,000-tonne/year high-end stainless steel heat exchanger tube project, invested by Zhejiang Julong Special Material Group Co., Ltd., has entered the trial production phase.

Export and Import Data: In June, the top 20 export regions for Chinese stainless steel accounted for 36.47 million tonnes, with India being the largest export destination. The top 5 import regions accounted for 12.46 million tonnes, with Indonesia being the largest source of imports.

Raw Material Related

Jinchuan Company's Nickel Price Adjustment: Jinchuan Company has adjusted its electrolytic nickel quotations downward by 1,300 CNY.

Furnace Ignition at a High-Carbon Chromium Factory: A 18,000KVA furnace at a high-carbon chromium iron factory in Inner Mongolia has been ignited, with an expected monthly output of over 3,000 tons of high-carbon chromium iron.

Import Data for Chrome and Nickel Iron: China's imports of chrome iron and nickel iron have shown significant increases both month-on-month and year-on-year.

Stainless Steel Scrap Import Decrease: China's import of stainless steel scrap has decreased significantly compared to the previous month and the same period last year.

Nickel Production Capacity in Indonesia: Zhongwei Shares has disclosed that it has built a nickel resource smelting base in Indonesia with a capacity of 200,000 metal tons.

About Americ Energy (CHINA) Co., Ltd.

Americ Energy (CHINA) Co., Ltd. is a distinguished manufacturer and distributor of an extensive array of stainless steel products, tailored to meet the varied requirements of multiple industries. Their product range includes stainless steel tubes, plates, strips, and square tubes, all adhered to the highest quality standards.