SteelOrbis has been informed that as of April 7 ex-China stainless steel coil export prices are at $2,300-2,400/mt FOB, moving sideways on average compared to March 31.
During the given period, local stainless steel prices from Shanxi Province-based Chinese steelmaker Taigang Stainless Steel Co., Ltd have remained stable.
During the given week, LME nickel prices have edged down slightly. The supply of nickel ore has been tight, bolstering prices to a certain degree. However, the postponement of Indonesia’s nickel export tax - originally to be effective as of April 1 - has alleviated short-term cost increase concerns, which may weaken the support for stainless steel prices from the cost side. The Ministry of Energy and Mineral Resources of Indonesia is conducting a deeper review together with the Ministry of Finance regarding the technical framework of the levy.
Due to the Tomb-Sweeping Day holiday (April 4-6), sales of low-priced stainless steel supplies have performed better, while demand from downstream users has improved slowly. The production capacity utilization rates of stainless steel producers have risen since March, which will exert a negative impact on prices amid anticipated increases in inventories. It is expected that stainless steel prices in the Chinese domestic market will fluctuate within a limited range in the coming week.
Indonesia-based Tsingshan’s export quotation for 304 (2 mm) has remained stable, standing at $2,090/mt FOB.
Stainless steel futures at the Shanghai Future Exchange closed at RMB 14,160/mt ($2,052/mt) on Tuesday, April 7, moving sideways compared to March 31, while decreasing by 0.11 percent compared to the previous trading day, April 3.
$1 = RMB 6.8854
