Another 8 Chinese Stainless Steel Plants Announce to Cut Output in May after Tsingshan

Published: Apr 27, 2017 10:35

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On Apr. 26, another 8 large domestic stainless steel producers announced to reduce production in May after Tsingshan’s cut plan.

SHANGHAI, Apr. 27 (SMM) – On Apr. 26, another 8 large domestic stainless steel producers announced to reduce production in May after Tsingshan’s cut plan, 51bxg.com reported.

China Nickel Ore Inventories Grow Finally, SMM Reports, with Bearish Outlook for Price

Tsingshan Group said to close one #201-hot-rolling furnace in Fujian production base, and to cut output by about 30,000 tonnes, and production plan for May will be set according to market conditions.

One High-Grade NPI Plant in Jiangsu Suspends Production

After Tsingshan’s cut news, another 8 stainless steel mills also announced to reduce production the same day, with deals below.

Steel Mill	Reason	Output to be Affected
Angang Lianzhong Stainless Steel Corporation Company	5-day maintenance for reheating furnace from May 2; 3-day maintenance for hot-rolling units from mid May	25,000 tonnes, including 15,000 tonnes of losses from reheating furnace’s maintenance, and 10,000 tonnes from hot-rolling units.
JISCO	sluggish prices	10,000 tonnes, including 6,000 tonnes of #304 stainless steel
Baosteel Desheng Stainless Steel Co., Ltd.	costs	20,000 tonnes, mainly #201 stainless steel
Huale Alloy Co., Ltd.	market conditions	20,000 tonnes, mainly #201 stainless steel
Guangxi Zhongjin Metal Technology Co.,Ltd.	maintenance from May 2 to 10	15,000 tonnes, mainly #201 stainless steel
Henan Xinjinhui Stainless Steel Co., Ltd.	time is not set yet, but will cut output	15,000 tonnes, mainly #201 stainless steel
Fuxin Special Steel Co., Ltd.	sluggish prices	20,000 tonnes, mainly #304 stainless steel
Southwest Stainless Steel Co., Ltd.	sluggish prices	25,000 tonnes

Another three large domestic stainless steel mills will also join in the cut, and their reduction plans will be released soon.

What’s impact will be on nickel market from production cuts at domestic stainless steel mills? Please stay tuned, and SMM will bring you latest report on it soon.

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