The hike in domestic stainless steel prices in China was influenced by the expectations of a rise in nickel prices due to fresh metal sanctions on Russia. With the US and UK governments restricting the trading of new Russia-origin aluminum, copper, and nickel, steel mills anticipated an increase in nickel prices, prompting them to raise their list prices for stainless corrosion resistance classes (CRC).
Despite the increase in nickel prices, buyers were reluctant to accept the higher prices, leading to only a minor uptick in domestic prices. The weakness in major downstream industries, such as China’s property sector, limited the potential for an increase in demand for stainless steel.
On the export front, Chinese exporters raised prices for stainless cold-rolled coil following the domestic price increase but kept hot-rolled coil export prices unchanged. Overseas buyers sought discounts, but Chinese exporters did not reach an agreement with them.
In East Asia, import prices for stainless steel also rose in response to the hike in domestic prices in China. Indonesian exporters increased prices due to the sanctions on Russia, but this led to lower interest among East Asian buyers who found the price hikes too steep compared to the modest increase in China’s domestic prices.
Overall, the global stainless steel market continues to see fluctuations in prices driven by geopolitical factors and market demand trends.
