Weak Stainless Plate Price in Tokyo

Stainless steel plate market price became weak tone due to anticipation of a fall by decreased nickel price after June. The price is expected to decrease by 10,000-20,000 yen per tonne. The price is at 700,000 yen per tonne for SUS304 grade cut hot coil at 1.09 million yen for SUS316 for plate mill products around Tokyo. Some price is cheaper than average price by 20,000-30,000 yen per tonne. Anticipation of a fall is spreading in Japanese market due to increase inventory and decreased nickel price. LME nickel price decreased to US$ 12.5 per pound or about 1,400 yen for average in August from the peak in May at US$ 23.7. In September, nickel price keeps US$ 12. Makers’ contract price is expected to decrease for nickel.Japanese largest maker of Nippon Steel & Sumikin Stainless Steel decreased the selling price by 40,000 yen per tonne from July contracts and by 95,000 yen from August contracts. The firm already announced to decrease the price by about 80,000 yen from September contracts. The hot rolled nickel series stainless plate inventory increased to 43,732 tonnes at the ended of July and increased from a month earlier for 8 consecutive months, according to the national processors’ group. The inventory was highest ever. The plate sales decreased to 10,040 tonnes and decreased from last month for 5 consecutive months. The sales decreased by about 22% compared with the peak in November 2006.