Underperform in Peak Season Market Pessimism Stainless Steel Scrap Prices Further Pull Back [SMM Stainless Steel Scrap Market Weekly Review]

Published: Oct 10, 2025 16:09

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This week, the price of 304 stainless steel scrap off-cuts in east China dropped slightly to 9,600-9,700 yuan/mt, while the price in Foshan remained stable at 9,350-9,650 yuan/mt. Currently, calculated by raw material, the production cost of stainless steel using entirely stainless steel scrap is approximately 13,417.11 yuan/mt, and the cost using entirely high-grade NPI is approximately 13,681.84 yuan/mt. This week, a steel mill in south China has not adjusted the tender price for stainless steel scrap purchases.

In the first week after the holiday, although the price of stainless steel finished products rose slightly driven by futures, high-grade NPI continued its weak trend from before the holiday, with prices falling further. At the same time, stainless steel scrap prices also remained weak and continued to pull back. Currently, tight tax invoices for stainless steel scrap and extended payment cycles have led to low market purchase willingness. Coupled with the recent weakness in high-grade NPI prices, overall market sentiment is relatively pessimistic. Although the economic advantage of stainless steel scrap has become more prominent compared to high-grade NPI, stainless steel underperformed in peak season, and against the backdrop of overall weakness in raw material prices, stainless steel scrap prices are still unlikely to rise in the short term.

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