Rising Ni Stainless Cold Sheet Price in Tokyo

Market price of nickel series cold rolled stainless steel sheet is 340,000-350,000 yen per tonne for base sized SUS304 with 2 millimeters thickness, surging by 20,000 yen this month around Tokyo. Dealers’ shipment volume rebounded to 80-90% against the peak level thanks to the demand recovery from semiconductor or liquid crystal panel manufacturing equipment. Meanwhile, the demand for building materials is still slackness. Stainless sheet makers are raising the selling price along their alloy surcharge system when nickel price is rising. As a result, speculative demand is increasing. The market price would keep upward.

Japanese coil centers’ inventory of nickel series cold stainless coil decreased by 8% to 42,000 tonnes in March from February, according to Japan Stainless Coil Center Association. Their shipment increased by 15% to 31,613 tonnes, increasing for 2 consecutive months. The inventory ratio lowered to 1.34 months of shipment, the record low level. A major dealer officer said dealers’ sales volume returned to 80% of the recent peak level in April and more increased in May.

Nippon Steel & Sumikin Stainless Corporation raised the selling price by 55,000 yen per tonne for May shipment. The firm would raise the price again in June. Nisshin Steel announced the price hike by 30% in April and the selling price actually increased by about 40,000 yen per tonne within April.

Demand for stainless steel products is steady in Asia. Chinese and South Korean stainless makers raised the shipment price to domestic market in May. Meanwhile, Japanese export price is slightly decreasing to CIF US$ 3,500 per tonne since nickel price temporarily leveled off.

Japanese stainless steel makers said they recently received speculative orders from domestic dealers. The makers are in full productions after personnel downsizing and delivery lead time is lengthening. Dealers are trying hard to reflect higher cost price on the reselling price.