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Stainless Steel Me

News , views and resources for the stainless steel industry

Stainless Steel prices to increase 25%

Stainlessprice1 150x150 Stainless Steel prices to increase 25%The independent company MEPS have forecast that  304 / 1.4301,  Stainless Steel World Price will increase by $US850 per tonne over the next six months. The gain is expected to be driven by a combination of rising  costs and stock building in the supply chains around the world.

Customer stock levels are low in all regions as buyers have been reluctant to purchase stainless steel products in the current economic climate. This pushed the world average figure for cold rolled type 304 to a 21 month low in December 2011.

 

However, over the past few weeks, nickel prices have escalated by 10 percent. Chromium prices are expected to follow a similar pattern. Scrap costs are increasing. These factors are predicted to lead to stock replenishment by both distributors and end users as they attempt to buy ahead of higher stainless steel prices resulting from rising mill input costs.

 

MEPS predicts a 25 percent rise in stainless steel  prices over the next six months in all regions of the world. Higher order volumes on the steelmakers and improving market conditions for the raw material suppliers is likely to boost stainless steel  figures in the coming months.

They do admit though that prices may then slip back later in the year although they are not expected to be as significant reductions. Having seem love prices for sometime this could bring welcome relief to stainless steel manufacurers.


 

 

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Tagged as: 304, increase, nickel, price, prices, stainless, stainlesssteel, Steel, world

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