Japan: Nippon Steel Stainless Steel to raise prices of SS wire rods for March-May contracts

Nippon Steel Stainless Steel is set to increase the base price of stainless steel wire rods for March to May contracts (April to June deliveries) by JPY 15,000/t ($99/t). This adjustment is attributed to the impact of rising nickel-chromium prices and a decrease in the alloy link portion. Specifically, the price of nickel (SUS304) will rise by JPY 5,000/t ($33/t), while chromium (430) will see a JPY 10,000/t ($66/t) increase.

In addition to these changes, adjustments in the prices of main special steel grades are also underway. SUSXM7 and SUS303 will each see a JPY 5,000/t ($55/t) increase, SUS316 will rise by JPY 15,000/t ($99/t), and SUS310S will decrease by JPY 5,000/t ($55/t). These shifts reflect fluctuations in alloy costs, particularly influenced by elements like nickel and molybdenum.

Notably, this marks the first base price increase since the contract was established in September 2022. The decision is driven by the sustained high prices of raw materials and auxiliary components for steel production. Furthermore, rising costs in materials, equipment, labour, and logistics are anticipated, necessitating adjustments in product prices.

Despite operating at around 70% capacity initially, Yamaguchi works and bar wire plant foresee an increase in order volumes in the future. This optimism stems from ongoing inventory adjustments within the domestic supply chain, along with promising signals of recovery in the automotive sector and semiconductor manufacturing equipment industry. Monitoring of imported steel product developments will remain a priority.

Moreover, the rod wire factory is slated for approximately two weeks of routine maintenance in April.

Note: This article has been published in accordance with an article exchange agreement between Japan Metal Daily and BigMint.