Steel mills are facing maintenance shutdowns, resulting in lower than market expectations for winter storage of finished products-Zhejiang Benji Stainless Steel Co., Ltd

1、 Raw material report:

1. Nickel: On January 16th, the closing price of nickel in London was $16150, a decrease of $68, or 0.42%; The latest price of Shanghai nickel 2402 is 127760 yuan, up 760 yuan or 0.60%; Shanghai high carbon ferrochrome FeCr55C1000 (50 base) costs 8800 yuan/50 base tons. The price of FeMo60 molybdenum iron in Luoyang dropped by 500 yuan at 219500 yuan/ton.

2. The latest price of stainless steel SS2403 is 14180 yuan, up 305 yuan, or 2.20%; The holding amount is 112918 lots, and the trading volume is 162805 lots.

3. Purchase price of stainless steel for Fujian Qingtuo Wenzhou Haitong Freight Yard:

1) 304 special grade materials are priced at 10000 yuan/ton, 304 industrial materials with film are priced at 9500 yuan/ton, and 304 shavings are priced at 8900-9000 yuan/ton.

2) 316L particle drying truck anhydrous oil costs 15600-15800 yuan/ton, 316 industrial materials cost 17200 yuan/ton, and 316 cleaning materials cost 17400 yuan/ton.

3) 2205 corner material costs 15000 yuan/ton, and 2205 particle size costs 14500 yuan/ton.

2、 Wuxi stainless steel plate coil reference price

1. Taiyuan Iron and Steel Hot Rolling Guide Price:

300 hot-rolled series: 15100 yuan/ton for 304/NO.1; 16000 yuan/ton for 321/NO.1; 26100 yuan/ton for 316L/NO.1.

Middle plate (cut edge, thickness: 14-20mm, width: 1500mm) 304 material -16500 yuan/ton, 321 material: 21200 yuan/ton, 316L material: 28600 yuan/ton.

2. Dongte Hot Rolling Guide Price:

S30408 material costs 13200 yuan/ton for 4-12mm and 13400 yuan/ton for 14mm; 13900 yuan/ton for 16mm;

S31603 material costs 24600 yuan/ton for 4-12mm and 25000 yuan/ton for 14mm; 25500 yuan/ton for 16mm;

310S hot-rolled flat plate 3, 4mm 34600 yuan/ton, 5-10mm 33800 yuan/ton, 12mm 34100 yuan/ton, 14mm 35100 yuan/ton.

3. Dongte 2205 hot-rolled at 25300 yuan/ton, Dingxin 310S material 3mm at 34000 yuan/ton, 4mm at 34100 yuan/ton, 5-10mm at 33900 yuan/ton.

4. Qingshan hot rolling: 304 material 13200 yuan/ton;

5. Zhangpu guide price: 13600 yuan/ton for 304 material, 16400 yuan/ton for 321 hot-rolled; 316L hot-rolled at 24800 yuan/ton.

3、 Reference price for stainless steel pipes and rods

1. The monthly price of Qingshan round steel is ? 65-130. S30400 material costs 13300 yuan/ton, 316L material costs 22900 yuan/ton, TP321 material costs 16200 yuan/ton, and 321 material costs 15000 yuan/ton.

2. [Delong round steel ? 65-130] S30400 material costs 13000 yuan/ton, 316L material costs yuan/ton for sealing.

3. Yongxing Bar Material ? 65-130: 304 material costs 16300 yuan/ton, TP321 material costs 18900 yuan/ton, 316L material costs 27500 yuan/ton, 316LGB material costs 30700 yuan/ton, S22053 material costs 29000 yuan/ton.

4. [Fukai Market Price]:

1) 2205 material ? 65-130 round steel 24700 yuan/ton; 2205 material continuous casting billet ? 170-250 24200 yuan/ton;

2) TP316L continuous casting billet ? 150-250: 23200 yuan/ton; 3) NO8810 electroslag ingot ? 360-900: 64000 yuan/ton;

4) NO8825 electroslag ingot ? 360-900: 97000 yuan/ton; 5) 17-4 electroslag ingots ? 360-900: 20000 yuan/ton;

6) 625 vacuum electroslag ingots ? 360-900: 20000 yuan/ton; 7) 6600 vacuum electroslag ingots ? 360-900: 150000 yuan/ton;

8) C-276 vacuum electroslag ingot ? 360-900: 227000 yuan/ton; 9) 718 vacuum electroslag ingot ? 360-900: 178000 yuan/ton;

10) Jiangyin Hanzhou 2205/F60 material costs 27000 yuan/ton, 2507 material/F53 material costs 36000 yuan/ton, 630/17-4PH material costs 17000 yuan/ton.

11) Wuxi Puheng Forged Round 304L Material: 15100 yuan/ton for ? 140-250, 15300 yuan/ton for ? 260-400; 316L material costs 25000 yuan/ton for ? 140-250, and 25200 yuan/ton for ? 260-400.

5. [Zhejiang Benji Pipe Reference Price]

Stainless steel seamless pipe 30408 material, specification 25 * 2 * 6000 cold drawn pipe, acid washed and weighed for delivery -26.3 yuan/kg;

Stainless steel seamless pipe S31603 material, specification 25 * 2 * 6000 cold drawn pipe, acid washed and weighed for delivery -38.3 yuan/kg;

Stainless steel seamless pipe S32168 material, specification 25 * 2 * 6000 cold drawn pipe, acid washed and weighed for delivery -30.4 yuan/kg;

Stainless steel welded pipe 30408 material, specification 219-813 * 4-6, acid washed and weighed for delivery -19.6 yuan/kg;

Stainless steel welded pipe S31603 material, specification 219-813 * 4-6, acid washed and weighed for delivery -33 yuan/kg;

Stainless steel welded pipe 32168 material, specification 219-813 * 4-6, acid washed and weighed for delivery -25.8 yuan/kg.

4、 Statistical data:

According to Mysteel research:

On January 12, 2024, the social inventory of stainless steel in the mainstream market nationwide was 837413 tons, an increase of 12949 tons or 1.57% compared to the previous week. Among them:

The total inventory of cold-rolled stainless steel is 495853 tons, a decrease of 855 tons or 0.17% compared to last week;

The total inventory of hot-rolled stainless steel is 341560 tons, an increase of 13804 tons or 4.21% compared to last week;

The total inventory of the 200 series is 147080 tons, an increase of 6060 tons or 4.30% compared to last week;

The total inventory of the 300 series is 558116 tons, an increase of 1615 tons or 0.29% compared to the previous week;

The total inventory of the 400 series is 132217 tons, an increase of 5274 tons or 4.15% compared to last week.

Wuxis inventory is 523040 tons, an increase of 1765 tons or 0.34% compared to last week

Foshans inventory is 241095 tons, an increase of 7170 tons or 3.07% compared to last week.

Zibo, Jieyang, Shenyang, and Xian have 73278 tons of inventory, an increase of 4014 tons or 5.80% compared to last week.

5、 Market analysis

The overall oversupply pattern of nickel fundamentals remains unchanged, and the profit from producing electroplated nickel from external raw materials is still acceptable. Domestic electroplated nickel production will remain high in the later stage, and pure nickel domestic and foreign inventories continue to accumulate; The negative feedback price of the nickel sulfate industry chain is still being suppressed, and the supply of nickel sulfate and intermediate products is loose and continues to accumulate; Indonesian nickel iron and Philippine nickel ore have stabilized near cost prices, but there is still significant excess pressure on nickel iron and stainless steel. The downward channel of long-term oversupply of nickel prices has not yet been completed, and short-term nickel prices are still experiencing continuous comprehensive oversupply of nickel metal. The cost side is following the nickel iron price, and the information side is affected by Indonesian policy expectations and maintains range fluctuations.

The news of Indonesias RKAB (Mineral Export License) is gradually being digested by the market, and its impact on stainless steel is limited. As the Spring Festival holiday approaches, some domestic steel mills are facing maintenance shutdowns. At the same time, the replenishment of steel mills is gradually coming to an end, and raw material costs are under pressure. The winter storage of finished products is not as expected by the market, and downstream stocking before the Spring Festival is gradually coming to an end. Stainless steel terminal consumption is still weak, and steel mills continue to suffer losses, It is expected that the replenishment of the raw material end may not be as expected, and further attention should be paid to the replenishment, profit, and maintenance situation of the steel plant. It is expected that the stainless steel will experience a narrow range of strong fluctuations in the short term.

Zhejiang Benji Stainless Steel Co., Ltd.,