Tisco and Baosteel to raise 400 series

Tag : heavy series

Tisco and Baosteel to raise 400 series stainless steel spot prices
It is reported that Tisco Stainless Steel and Baosteel StainlessSteel are willing to jointly raise spot distribution price of 400series stainless steel by CNY 300 to CNY 500 per tonne.

It is realized that the price rise may be concentrated in 400series CR stainless spot cargoes. If two giants come to anagreement in details of the price increase, the price of 400 seriesstainless steel in spot market should be boosted high.

At present, both traders and steelworks are facing heavy pressuresfrom higher distribution and production cost. Consequently, theprice rise may come true. The base contract distribution price of430/2B is CNY 14,800 to CNY 15,000 per tonne now, while the spotdistribution base price is about CNY 12,200 per tonne. Even if thespot price comes up by CNY 300-500/ton, the price gap between spotprice and EXW price is still large.