+ steel: Nippon Steel increased HRC prices to USD750/t for Mar | DM Stocks

+ steel: Nippon Steel increased HRC prices to USD750/t for March shipment; door open for further domestic hikes

As per Steelmint, Japanese producer, Nippon Steel, has raised HRC prices to USD750/t for early March shipment. This indicates improvement in demand. As of now, imports from South Korea are coming at USD690/t at Indian port and domestic prices are at parity.

With rise in prices from Japanese producer, there exist a possibility of further rise in prices post lunar holidays in China and thereby in India.

Domestic demand is firm amid seasonality. As per calculation, there is a room to increase prices by upto INR4,000/t by domestic producers in Feb/March (assuming global price sustains) which will more than offset the higher RM cost. This may not lead to any cuts in our FY23/24 est. Retain our mid term positive view on metals

Regards,

Ashish Kejriwal, NUVAMA