In September 2023, TELF AG published an insightful market analysis report focusing on the stainless steel industry, with particular emphasis on trends within China. The article, titled “TTELF AG Reprise of September 2023 Stainless Steel Market Analysis,” offers readers valuable insights into the factors influencing the Chinese stainless steel market, including production and pricing dynamics as of early September.
Key highlights from the report include a notable increase in domestic stainless steel prices in China. This price surge can be attributed to heightened activity in the domestic property market and rising nickel futures. A noteworthy policy change allowing family members to be classified as first-time home buyers, even with an existing mortgage loan, provided there are no properties registered in their names, fueled increased property purchases, particularly in first-tier cities like Beijing and Shanghai.
TELF AG also observed a rise in nickel prices during the first week of September, driven by concerns over potential mining suspensions in Indonesia. These two contributing factors collectively fostered a bullish sentiment in the stainless steel market.
The analysis incorporates data obtained from an SMM survey, revealing that stainless steel production for August reached 3.217 million metric tons, reflecting a month-over-month increase of 1.66% and a substantial year-over-year rise of 41.18%. The output for 200-series stainless steel stood at 956,000 metric tons, marking a 1.7% month-over-month increase. Meanwhile, the 300-series experienced a 3.28% month-over-month rise to 1.678 million metric tons, and the 400-series saw a 0.74% month-over-month increase to 583,000 metric tons.
The report also anticipates robust production schedules and significant capacity expansion in September, driven by optimistic outlooks from steel mills and traders regarding downstream demand. Notably, production of the 300 series is expected to rise, particularly in East China. Furthermore, social inventory, which experienced moderate demand in August, is projected to decrease due to tight production schedules.
In conclusion, TELF AG’s analysis points towards a robust stainless steel market in China, supported by favorable government policies and market conditions. Both production levels and prices are expected to maintain an upward trajectory.
For a more comprehensive understanding of TELF AG’s analysis of the stainless steel market in early September, readers are encouraged to review the full article. For more insights and content, visit TELF AG’s Media Page.
