- Buyers remain cautious amid nickel price volatility
- Firm scrap prices support finished steel
India’s stainless steel finished market remained firm during the week ended 23 September, supported by steady domestic demand, firm scrap prices and elevated input costs. However, buying remained cautious as volatility in nickel prices and elevated container freight rates continued to influence procurement decisions.
Market participants expect buying activity to gradually improve in the coming weeks as downstream consumers begin replenishing inventories ahead of Diwali. However, uncertainty over raw-material prices and freight costs is likely to keep buyers cautious on inventory accumulation.
Finished flat
Demand for stainless steel flat products remained moderate during the week, with buyers largely restricting purchases to immediate requirements. Despite subdued spot activity, sellers continued to hold offers firm, supported by elevated scrap costs.
BigMint’s benchmark assessment for 304 HR coils remained unchanged w-o-w at INR 222,000/t exw-Mumbai. Meanwhile, 316 HR coil prices increased by INR 2,000/t to INR 440,000/t.
Finished long
The domestic stainless steel longs market remained firm during the week, supported by tight scrap availability and firm alloy costs.
BigMint’s 304 black bar prices increased by INR 1,000/t to INR 205,000/t exw-Mumbai, while 316 black bar prices remained unchanged at INR 370,000/t.
India’s stainless steel longs export offers remained largely stable w-o-w during the assessment week ended 22 September, with trading activity subdued amid limited buyer interest. Elevated freight costs, tight scrap availability and higher alloy costs continued to support sellers’ price expectations.
BigMint’s assessment on 22 September placed 304 bright bars at $2,380/t FOB Nhava Sheva and 316 bright bars at $4,330/t FOB Nhava Sheva, with both grades unchanged w-o-w.
Global updates
Indonesia’s Tsingshan Holding Group has raised its Asia-bound stainless steel offer prices by around $30/t, complicating expectations of further price declines across the regional market. While demand remains weak and inventories elevated, the increase suggests rising raw-material costs are beginning to establish a floor under export offers from Asia’s largest suppliers.
Raw material prices
Outlook
Stainless steel prices are expected to remain firm in the coming weeks, with festive-season restocking likely to support domestic demand ahead of Diwali. However, buyers may continue to limit inventory accumulation amid nickel price volatility and elevated logistics costs.
Firm scrap availability and higher alloy costs are likely to continue supporting finished steel prices. A sustained improvement in domestic buying, particularly ahead of Diwali, could strengthen market activity, while export demand may remain subdued during the same period.
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