Plunging Ni Pressures on Stainless Cold Sheet Price in Tokyo

Stainless cold rolled steel sheet market price is 650,000 yen per tonne for SUS304 grade around Tokyo compared with 540,000 yen at the beginning of the year after the makers raised the selling price every month to cover higher nickel price. With major drop for nickel ingot market since mid-June, the stainless makers reduce the price pressuring on the market price.

Nippon Steel & Sumikin Stainless Steel (NSSC) reduced the selling price by 40,000 yen per tonne for nickel series stainless sheet for July order after hikes for 18 months in a row. The firm also rejected the order receipt from distributors when the dealers’ inventory increases. The firm tries to reduce the inventory through 40% reduction for the cold rolling operation at Hikari plant. The firm is expected to reduce the price by 80,000 yen for coming order to reflect lower nickel price.

Chrome series stainless sheet price is firm at 245,000 yen per tonne for SUS430 grade around Tokyo compared with 220,000 yen at the beginning of the year. Firm demand supports the market when the users try to shift from high priced nickel series stainless. Domestic stainless makers could increase the selling price after 20% increase for quarterly ferrochrome purchase price in July-September.