NSSC Hikes Ni Series Stainless by 55,000 yen/t

Nippon Steel & Sumikin Stainless Steel (NSSC) announced on Monday the firm increases the selling price of nickel series stainless cold rolled sheet and plate by 55,000 yen per tonne for September order to cover higher nickel price. The cold sheet price increases to 475,000 yen per tonne for cut edge coil after the increases for 9 months in a row. The firm left the chrome series stainless price unchanged. The firm revises the selling price based on the alloy linked price mechanism, in which the firm reflects change of nickel price at London Metal Exchange, foreign exchange rate and chrome price in 2 months before the order. The firm said averaged nickel price was US$ 12.06 per pound in July and US$ 13.95 in August. The foreign exchange rate was 116.91 yen per US dollar and chrome price was 80 US cents per pound. Averaged nickel price increased to more than US$ 8 per pound in April after less than US$ 7 in March. The price hit record US$ 15.76 on August 24 after the price reached US$ 12 in July. The higher nickel price lifted the stainless selling price. The hike is widest hike since NSSC started the announcement of the monthly price. Japanese stainless demand is firm toward the demand season. The supply is getting tighter when the stainless cold sheet import decreases to monthly 3,000 tonnes level. NSSC focused on price hike for contract users in the first half year to September and realized the hike for major users including kitchen makers. The chrome series stainless demand increases as substitute of nickel series though NSSC left the price unchanged for September order. The firm said the demand especially increases for high valued chrome series items including NSSC180. With large volume of order, the order for chrome series stainless increased by more than 10% since the start of the firm in October 2003. NSSC tries to expand the sales of chrome series stainless, which is less volatile than nickel series.