Stainless Steel Output was Still Low in Feb, and Is Likely to Rise 20% MoM in Mar [SMM data].

SHANGHAI, Mar 9 (SMM) - According to SMM survey, the domestic stainless steel output in February totalled about 2.33 million mt, down 14,000 mt or 0.58% MoM and down 4.83% YoY.

Among them, output of #200 stainless steel stood at 628,000 mt, down 20.83% YoY; output of #300 stainless steel stood at 1.295 million mt, up 14.3% YoY; output of #400 stainless steel stood at 407,000 mt, up 22% YoY.
 

In February, due to CNY holiday and Winter Olympics, some steel mills reduce or even stopped the production in early February. In addition, there were only 28 days in February, so the output in February was basically flat from that in January. However, in March, most enterprises will resume the production, and the output of stainless steel is expected to rise by about 27.6% month-on-month, and down 1.4% year-on-year.

Among them, the increase will be mainly contributed by #300 stainless steel. In addition to production recovery, the addition output of new production lines in Delong will be mostly #300 stainless steel. The trial production is expected to see an output rise of about 60,000 mt in March. Thus #300 stainless steel output will increase 20.6% MoM and 14% year-on-year.

#200 stainless steel and #400 stainless steel output will both decline year-on-year, with a drop of 12.1% and 18.2% respectively.