- Import offers remain above buyers’ workable levels
- China scrap prices weaken on sluggish demand
India’s stainless steel scrap market remained subdued in the week ended 10 July 2026, as weak finished stainless steel demand, lower nickel prices, and cautious mill procurement continued to weigh on market sentiment. Trading activity remained limited across both domestic and imported markets, with most buyers restricting purchases to immediate requirements while major stainless steel mills continued to procure selectively.
Market participants said bid-offer gaps persisted in the import market, reflecting weak buying interest and uncertainty over near-term price direction. Imported 304-grade stainless steel scrap offers were heard at $1,450-1,460/t CFR Nhava Sheva, while buyers remained comfortable only at $1,430-1,440/t. Similarly, 316-grade scrap offers were reported at $2,880-2,900/t, whereas buyers’ bids were largely restricted to $2,820-2,840/t amid cautious procurement and weak downstream demand.
According to BigMint’s assessment, domestic 304-grade stainless steel scrap prices declined by INR 2,000/t w-o-w to INR 135,000/t DAP Delhi, reflecting softer buying sentiment and lower finished stainless steel prices. Imported 304-grade scrap prices also eased by $30/t w-o-w to $1,440/t CFR Nhava Sheva, while imported 316-grade scrap declined by $50/t to $2,820/t CFR India.
Market sources noted that, European-origin scrap continued to be offered at nearly $100/t higher over Indian market levels, while elevated freight costs further reduced the viability of imports. As a result, several buyers preferred domestic material, which continued to offer a better cost advantage and shorter procurement cycles.
Buying interest from stainless steel mills also remained muted as weak order bookings from downstream sectors and the ongoing monsoon season kept finished steel demand under pressure.
China market remains weak
China’s stainless steel scrap market also remained under pressure during the week, with prices continuing to decline amid weaker stainless steel futures and lower high-grade nickel pig iron (NPI) procurement prices announced by steel mills. Weak downstream demand during the traditional off-season and cautious buying sentiment kept trading activity subdued, while mills limited scrap purchases to immediate requirements. Despite maintaining a cost advantage over high-grade NPI, stainless steel scrap failed to find support as bearish market sentiment outweighed its cost competitiveness. As of Friday, 304-grade stainless steel scrap prices in Shanghai declined by RMB 250/t ($36/t) w-o-w to around RMB 10,150/t ($1,497/t), with market participants expecting prices to remain range-bound to weak until demand or futures sentiment improves.
Outlook
The stainless steel scrap market is expected to remain stable to slightly weak in the near term. Market participants believe the scope for a significant downside is limited after the recent correction, with price direction now largely dependent on movements in LME nickel. However, mill procurement is likely to remain need-based until finished stainless steel demand improves after the monsoon season, while domestic scrap is expected to retain its cost advantage over imported material.
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