Japan: Aichi Steel to raise stainless steel prices on stiff raw material costs

Aichi Steel, a Japanese steel manufacturer and a member of the Toyota Group, announced on 14 Apr'22 that the selling price of stainless steel (shaped steel/round bar) will increase from 20% to 25% of the current price for nickel and 10% to 15% for chrome from April contracts, as per Japan Metal Daily.

The company has raised the price by about 15% from the contract in February, but decided to raise the price further because the prices of nickel and chromium, which are the main raw materials, continue to rise.

Demand for stainless steel materials has remained relatively strong in major fields, although there are slight temperature differences depending on the field.

In addition, the prices of nickel and chromium, which are the main raw materials, have risen sharply, as nickel is in strong demand for batteries for electric vehicles.

In addition to strong stainless steel production, the demand for dry batteries is also very strong, especially in North America.

The company expects that such a tight supply-demand environment will continue for the time being. The company raised the price by about 15% from the contract as compared to Feb.

The company said: "It is difficult to absorb the further cost increase of the main raw material only by its own efforts; so it will be reflected in the selling price".

This article has been published under an exchange agreement between Japan Metal Daily and SteelMint.