Steel Market Update

Advisory Bazaar Info Services

* Asian Stainless Steel: Asian stainless steel prices declined for the third consecutive week as weak demand continued to outweigh supply-side adjustments. Some Indonesian mills have reduced operating rates due to weak demand and water supply issues, but no major producers have officially announced production cuts. Near-term prices are likely to remain under pressure unless downstream demand improves.

* India-EU Steel Quota: Under the India-EU FTA, India will receive an additional 694,853 tonnes of preferential annual steel export quota to the EU, over and above the existing 946,616-tonne WTO quota. The combined quota covers around 68.4% of India’s 2.4 million tonnes of steel exports to the EU in 2025. However, the preferential quota does not exempt Indian steel from the EU’s CBAM.

* Indian Stainless Steel: A leading Indian stainless steel producer raised prices effective September 12. Prices of 316L HR/CR increased by ₹3,000/tonne, J4 HR/CR by ₹1,500/tonne, and 204Cu and 202-AU by ₹2,000/tonne. Higher nickel prices and tight stainless steel scrap availability are keeping raw material costs elevated.

* Market Outlook: 304 HRC is currently around ₹222,000/tonne, while 316 HRC is around ₹433,000/tonne. Firm domestic demand and subdued imports continue to support mill pricing, although buyers may remain price-sensitive after the latest hike. Further upside will depend on alloy prices and downstream demand.