- South Korean stainless prices remained under pressure
- Korean 304 CR prices remained weak
The Asian stainless steel market remained subdued in the first week of October, as holidays and sluggish demand restricted trading activity. With only three actual business days during the week, transactions remained limited. Although lower-priced offers attracted some interest, deal levels were insufficient to shift prevailing average selling prices. Buyers and distributors continued to adopt a cautious approach amid uncertainty over demand recovery and future price movements.
South Korea market
South Korea’s stainless steel market remained under pressure, with weakening import prices weighing on domestic offers. Imported 304 cold-rolled (CR) stainless steel was trading at around KRW 3.2 million/t ($2,390/t), while domestic 304 hot-rolled (HR) prices were heard at around KRW 3.55 million/t ($2,650/t). Meanwhile, 304 CR prices, including material supplied by cold-rolling companies, ranged from KRW 3.5 million/t to KRW 3.65 million/t ($2,610–2,720/t).
Distributors and end-users remained reluctant to replenish inventories, even where stocks of specific grades and sizes had declined. Market participants increasingly preferred purchasing only when requirements arose, rather than building inventory in advance, amid uncertainty over future prices.
The Korean won traded around KRW 1,340 against the US dollar during the week. No new offers for 304 CR stainless steel for delivery to Korea had emerged, while December-shipment offers were expected after mid-October.
China market
China’s domestic stainless steel market remained weak following the National Day holiday. Tisco 304 CR stainless steel distribution prices in Wuxi were around RMB 14,900/t ($2,100/t), broadly unchanged week-on-week. However, renewed weakness in nickel prices weighed on sentiment, with Chinese stainless steel futures declining by nearly 2% after trading resumed following the holiday.
Asian export market
Across Asia, stainless steel prices remained broadly stable despite softer nickel prices, partly supported by higher raw material costs associated with Indonesian policy measures, according to the source. Indicative 304 CR export prices were reported at $2,110–2,160/t, while actual trading activity remained extremely limited.
Outlook
The Asian stainless steel market is likely to remain subdued in the near term, with weak end-user demand, cautious inventory management and limited trading activity constraining price movements. Softer nickel prices and declining import offers may continue to weigh on market sentiment, while raw material costs could provide some support to export prices. A sustained recovery will depend on improved downstream demand and the return of buyers to the market.
Note: This article is published as part of a content exchange agreement between SteelDaily and BigMint.
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