Shanghai, February 8th. Recently, the price of stainless steel raw materials has continued to rise, which has become a key factor for the acceleration of new production capacity.

Based on the expectation of a steady recovery of the Chinese economy, SMM expects that the release of stainless steel production capacity will increase steadily. However, raw material supply has been plagued by different issues.

First of all, the domestic supply of ferrochrome will still be in a state of tight supply and demand in 2023, due to the low port inventory caused by blocked shipments from South Africa, and the recent earthquake in Turkey.

Secondly, with the smooth launch of the new NPI production line in Indonesia, it is expected that the supply of NPI will be sufficient, but there may be a shortage of high-grade NPI with a grade of 8-9%.

Still need to pay attention to changes in raw materials.