Taiyuan expected to cut October 304, 430 stainless prices

China’s Taiyuan Iron & Steel (Tisco) is expected to cut its benchmark contract domestic prices of Grade 304 and 430 stainless steel in October, a company source tells Steel Business Briefing.

Tisco is aiming to announce its October prices within this week, if not next, he says.

The monthly price announcement from Tisco is closely watched by other Chinese stainless mills, which tend to follow the price adjustments made by the country’s largest stainless steel producer.

However, the monthly contract price announcements by stainless steel mills may be losing their relevance as the gap between the contract and spot prices widens, with the latter dipping much faster than the former, market observers say.

As SBB reported, domestic spot prices continue to trend downwards in China, with prices of Grade 200, 300 and 400 slipping lower in September on weak demand and oversupply.

Tuesday, 23 September 2008