Peak Season Arrives with Rising Nickel and Chrome Prices, Stainless Steel Scrap Prices Temporarily Stabilize, Economic Advantages Expand [SMM Stainless Steel Scrap Market Weekly Review]

Published: Sep 12, 2025 15:43

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This week, the price of 304 stainless steel scrap off-cuts in east China held steady at 9,700-9,800 yuan/mt, while in Foshan, the price of 304 stainless steel scrap off-cuts rose slightly to 9,500-9,800 yuan/mt. Currently, based on raw material calculations, the production cost of stainless steel using entirely stainless steel scrap is approximately 13,535.53 yuan/mt, and the cost using entirely high-grade NPI is about 13,655.67 yuan/mt. This week, a steel mill in south China has not adjusted its tender price for stainless steel scrap procurement.

This week, the price of stainless steel finished products rose slightly, with furnace charge materials such as high-grade NPI and high-carbon ferrochrome showing a strong performance. However, the price of stainless steel scrap was not significantly affected during the week and remained relatively stable. With the planned production of stainless steel expected to increase within the month, coupled with the recent continuous rise in high-grade NPI prices, the economic disadvantage of stainless steel scrap has reversed, and its advantages have gradually become prominent, with demand expected to strengthen. Nevertheless, as macro tailwinds have yet to materialize, market wait-and-see sentiment remains strong, the recovery of downstream stainless steel consumption is slow, and acceptance of high-priced stainless steel is limited, hindering price increases and resulting in volatile prices. Stainless steel scrap is also dominated by market wait-and-see sentiment, making it difficult for prices to rise.

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