Price trend:

According to data from SunSirs, stainless steel prices fell slightly last week. As of November 7th, the average daily price of spot 304/2B stainless steel flat plate 1.0*1219*2438 (tolerance 0.91) was 11,708.33 RMB/ton, down 0.92% from the beginning of the week and down 7.86% year-on-year.

According to data from SunSirs, nickel prices have risen recently, but stainless steel prices have remained weak.

Market Analysis

Last week, total stainless steel inventory was 1.034 million tons, up 0.29% from the previous week, with both cold rolled and hot rolled inventories increasing.

Raw materials: Ore prices remained firm as the rainy season approached in the Philippines, a major producing region, and some factories in northern China began preparing raw materials. Overall, nickel ore supply in Indonesia was relatively ample. Ferrounickel prices shifted downwards, exacerbating losses for both domestic and Indonesian iron ore mills, with market quotes concentrated around 935-940 RMB/nickel (including tax). Increased pressure on ferrochrome supply, coupled with falling chromium ore prices, raw material costs support reduced.

Supply and Demand: In September, the crude steel output of 43 domestic stainless steel mills reached 3.4267 million tons, an increase of 111,100 tons month-on-month, representing a growth of 3.35%, and a year-on-year increase of 4.32%. 300 series stainless steel output was 1.7627 million tons, an increase of 24,800 tons month-on-month, representing a growth of 1.4%, and a year-on-year increase of 5.1%. October production was scheduled for 3.4472 million tons, an increase of 0.6% month-on-month and a year-on-year increase of 4.75%. Supply remained under pressure, with steel mills jointly reducing production to maintain prices, but this was mainly concentrated in 200 series mills, while 300 series output remained high. Demand recovery was not significant; the traditional peak season performance was below expectations, and downstream purchasing activity was insufficient, with inventory mainly focused on immediate needs. Social inventory had decreased slightly, but at a slow pace.

Market outlook

Policy and macroeconomic factors were gradually weakening, and the fundamentals had not improved significantly. Supply-side pressures from steel mill production schedules and social inventory remained, while demand remained insufficient to boost prices. In the short term, stainless steel prices are expected to consolidate to weaken within a narrow range.

If you have any inquiries or purchasing needs, please feel free to contact SunSirs with support@sunsirs.com.