Nisshin Steel Stops order Receipt of Nickel Series Stainless Sheet in July

Nisshin Steel, Japanese major stainless steel maker, announced on Friday the firm stops order receipt of nickel series cold-rolled stainless steel sheet for dealers for the contract in July. The firm stops the order receipt for the first time in a year. The firm takes precedence the inventory adjustment when the market inventory keeps high or the market price is expected to decrease due to downside of LME nickel price. The firm reduces the output of nickel series cold-rolled stainless steel sheet by over 30% compared with the capacity. The firm said its sales volume keeps slow and the market inventory is much when the demand for mainly building material is stagnation.The firm explained the firm reduces order receipt from overseas buyers, which takes precedence getting profit when Chinese makers are reducing the output due to increased inventory and the demand in Europe is weak.The firm entertains the introduction of new price deciding system for nickel series cold-rolled stainless steel sheet with conservation of the nickel price surcharge system. The firm considers calculation period for average nickel price of LME. The firm entertains the introduction of Chrome price surcharge system. The firm is expected to decide new system until September.