Nisshin Steel Announces First Stainless Steel Price Hike in A Year

Nisshin Steel increases selling price of nickel series stainless cold rolled steel sheet and steel tubular by 20,000 yen per tonne for distributors for August shipment, announced on Tuesday. The firm increases the price of both products by another 20,000 yen for September shipment and hikes chrome series stainless cold rolled sheet price by 10,000 yen for September shipment. The firm tries to pass higher cost for nickel, chrome and other materials. The firm increases stainless steel price for the first time since May-June 2008 contracts.

The price of nickel series stainless sheet and other products continued decreasing in more than a year due to the decline of nickel price and the low demand. Nisshin Steel and other stainless makers tried to improve the supply balance by production cut and inventory adjustment. Nisshin Steel rejected the order receipt for several months for better supply balance.

On the other hand, nickel ingot price increased to averaged US$ 7.25 per pound in July compared with the bottom at US$ 4.40 in February-March. Nisshin Steel reflects the surge in material cost to product price.