Stainless steel futures and spot prices moved higher last week, supported by stronger nickel prices and a notable decline in spot inventories. Improved restocking demand followed price cuts by major South China mills, leading to more active trading despite the seasonal slowdown.
China’s mainstream 304 stainless steel spot price in Wuxi rose by around CNY 150/ton to CNY 14,500/ton, while social inventories fell 3.1% week-on-week to 1.09 million tons, with 300-series stocks posting the largest decline.
The market was also supported by higher nickel costs and reduced production at Chinese mills, easing supply pressure. Market participants expect stainless steel prices to remain firm in the near term, although demand recovery in the third quarter and future nickel price movements will remain key factors.