Nickel, NPI and stainless steel prices up in China

Oct 14, 2024

by Gerber Group | Oct 14, 2024

14 October 2024 – Nickel, NPI and stainless steel prices in China rose again on Monday. The Chinese Ministry of Finance has presented details of the package of measures announced. And India is considering higher standards for steel imports.

As announced, the Chinese Ministry of Finance presented the new financial policy package in more detail at the weekend. It includes financial aid to further stabilise the property market, which, with the funds already available, will amount to more than 320 billion US dollars (2.3 trillion yuan) and should be available in the next three months. The long-term approach of the measures presented should arouse particular interest.

Even though the reactions on the Western markets have been somewhat more mixed so far on Monday, there have been positive reactions and gains of up to 2% in China, especially on the Shanghai Composite (SSEC) and Shanghai Shenzhen CSI 300 (CSI300) stock market indices. We are currently assuming that the West will follow suit.

Nickel futures on the SHFE rose by up to 0.7% on Monday. Chinese nickel pig iron (NPI) prices also improved by up to 0.35%. Stainless steel prices (304/316L) also continued to rise in response to higher raw material costs.

According to media reports, the Indian government is planning to adjust its quality control orders after an analysis by the Ministry of Steel at the beginning of October revealed an increase in substandard steel imports.

A few months ago, there was already a major scandal involving the import of stainless steel into India with the help of fake Bureau of Indian Standards (BIS) certificates and Mill Test Certificates (MTC). This led to massive criticism of the Indian customs authorities. According to media sources and market reports at the time, it was certain traders who knowingly presented forged documents to importers.

The expected tightening of the quality control orders is therefore likely to be a reaction to the dubious and illegal business practices of some traders who also sell to India, among other countries.

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Disclaimer: Many things here represent our opinion. Others are information from the Internet. We can therefore never claim to be correct or complete. And never base a business decision solely on the news you receive from us.