The negative feedback from stainless steel continues to transmit upstream, and the price of high-grade NPI may remain in the doldrums in the short term. [NPI Daily Review]

SMM reported on April 24,

      On April 24, the average price of SMM 8-12% high-grade NPI was 971 yuan/mtu (ex-factory, tax included), down by 3 yuan/mtu compared to the previous working day. Supply side, domestically, smelter profits began to tighten, and losses deepened for some high-cost smelters, with production remaining low due to weak production drivers. In Indonesia, premiums for Indonesia's local ore remained stable, and smelter cost lines were generally stable with a slight rise, but spot prices have already fallen below the cost lines of some smelters, leading to weakened production drivers similar to the domestic situation, with overall production remaining stable. Demand side, stainless steel spot prices are at low levels in recent years, and immediate raw material costs are high, resulting in losses. Short-term raw material procurement demand from downstream stainless steel mills is weak, and the market transaction center continues to decline. It is expected that high-grade NPI prices will remain under pressure in the short term.