- 304 scrap prices drop $10/t w-o-w on oversupply concerns
- 316-grade scrap gains support from firm molybdenum prices
India’s stainless steel scrap market witnessed mixed trends this week. In the domestic market scrap prices saw an uptick due to tight supply, while imported scrap saw marginal corrections especially in 304 grades amid bid-offer disparities.
BigMint assessed 304-grade domestic scrap at INR 116,000/t ex-Delhi, up by INR 1,000/t w-o-w, while imported 304-grade from nearshore origins was assessed at $1,285/t CFR Mundra, down $10/t w-o-w.
Market sentiments
The stainless steel market looks positive in the near term as finished steel sales have improved, and chrome, nickel, and molybdenum prices are also firm,” a buyer commented. Mills indicated that 200-series demand is expected to rise approaching Diwali. Trades for SS 304 scrap were heard in the range of $1,270-1,290/t, while 316-grade scrap was reported at $2,520-2,550/t from Vietnam, Indonesia, and Thailand origins.
Global insights
The US stainless steel scrap market also showed mixed trends this week. Prices for 304-grade scrap softened amid oversupply concerns and muted mill buying, as sellers faced difficulty liquidating stocks in a saturated market. “Mill-level demand has weakened significantly,” one seller said, adding that buyers remain cautious due to uncertain offtake. In contrast, 316-grade scrap prices edged up, supported by firm ferro molybdenum values, lending partial support to market sentiment.
In international markets, stainless steel 304 scrap was reported at $1,190-1,215/t CIF Rotterdam, $1,215–1,235/t CIF Japan, $1,235-1,280/t CIF South Korea, and $1,170-1,235/t CIF Taiwan. Meanwhile, US-origin 409/410 scrap traded in the $450-470/t range, and 430 scrap was reported at $580-630/t.
BigMint’s scrap assessments
- Nearshore-origin SS 316 scrap (loose): $2,510/t, up by $10/t w-o-w.
- Nearshore-origin SS 201 scrap (loose): $665/t, down by $5/t w-o-w.
- Nearshore-origin SS 430 scrap (loose): $575/t, down $25/t w-o-w.
- SS 316 scrap ex-Delhi: INR 219,000/t, up by INR 1,000/t w-o-w.
- SS utensil ex-Delhi: INR 60,000/t, unchanged w-o-w.
LME nickel remains higher
Nickel prices on the London Metal Exchange (LME) edged up, with the three-month contract at $15,365/t, up 2% versus $15,110/t last week. LME-registered nickel stocks edged up 2% to 236,890 t as against 231,504 t in the previous week.
Outlook
Stainless steel prices are likely to remain range-bound in the near term amid limited buying interest, bid-offer disparities, and the slowdown ahead of Diwali holidays. However, improved market sentiment and firm raw material costs may offer mild support to prices.
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