Temporally Drop for Japan Stainless Plate Price

Stainless steel plate market price is expected to decrease around Tokyo to reflect lower nickel ingot price in July and August. The market price is 600,000 yen per tonne for SUS304 hot rolled coil plate and 720,000 yen for plate mill products. The price is likely to decrease by 20,000-30,000 yen to reflect bottom price by stainless makers. The market price, however, will turn into increase in early 2008. Worldwide stainless plate supply got ease in July-September after tight market. Japanese stainless maker source said the demand recovered in October mainly for contract users. The actual demand is still strong for desalting of seawater facility and liquid natural gas carrier. The domestic demand also keeps firm. However, the distributors’ market is weak especially for plate mill products. Nickel ingot price keeps more than US$ 13 per pound compared with averaged US$ 14.10 in October. Japanese stainless industry interests are still cautious on the nickel price with mixed view. Some expects the price is stabilizing the level while others expect the price could fluctuate in the range of US$ 10-20. Nippon Steel & Sumikin Stainless Steel is expected to increase the plate price for December to reflect nickel price. With the higher price, the distributors’ market price could hit bottom in December.