As of this Thursday, the price of 304 stainless steel scrap off-cuts in east China remained basically stable at 9,450-9,550 yuan/mt, while in Foshan, the price was flat at 9,450-9,750 yuan/mt. Currently, by raw material calculation, the production cost of stainless steel made entirely from stainless steel scrap is approximately 13,239.47 yuan/mt, while that made entirely from high-grade NPI is approximately 13,149.47 yuan/mt. This week, a steel mill in south China did not update its purchase price for stainless steel scrap.
This week, the prices of stainless steel finished products and high-grade NPI slightly declined. However, during the year-end period, the supply of stainless steel scrap in the market remained tight, with traders showing a clear reluctance to sell. Coupled with the fact that current prices are already at relatively low levels, there is limited room for further decline, resulting in overall stability in stainless steel scrap prices. In comparison, stainless steel scrap remains less economical than high-grade NPI. Additionally, affected by the losses in stainless steel smelting profits, steel mills have a strong intention to suppress stainless steel scrap prices. It is expected that stainless steel scrap prices will continue to show a weak trend in the short term.
