China Stainless Steel Market – After the 201 stainless steel saw a hot sales run, is 304 also looking to shake things up?

1. Market Overview – Mild Rebound, Weak Domestic Demand

• Chinese stainless steel futures continued their early-week rebound but lacked strong follow-through.

• Market confidence remains cautious, and most domestic buyers are still focusing on small, essential purchases.

• For importers, this means ** mills have fewer domestic orders and are more willing to negotiate export prices**, especially on 304 and 201.

Futures closed at 12,500 RMB/ton this week (+1.09%).

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2. Spot Market – Small Price Increase, Ample Supply

Chinese spot prices increased slightly this week (around +30–80 RMB depending on grade), mainly due to:

• Higher raw material costs

• Mills reducing profits

• More planned maintenance in December (less supply pressure)

At the same time:

• Domestic demand remains weak

• Inventory stays high

• Dealers continue offering promotions to improve cash flow

This combination = a favorable window for overseas buyers, especially those purchasing 304/2B, 304/BA, and 201-J series.

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3. Key Price Movements (Simplified Summary)

304 Series (2B/BA)

• Most mills: +30 to +80 RMB

• Indonesian material: +30 RMB

• BA finish: flat at some mills

Trend: Mild increase but still near low levels → Good timing for bulk orders.

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201 Series (J1/J2/J5)

• Most mills: +10 to +40 RMB

• J5 and J2: Slight increases, still low

Trend: Very stable → Suitable for steady monthly or quarterly orders.

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430 Series

• Slight decreases (-20 to -40 RMB) across 2B/BA

• Some grades remained flat

Trend: Soft demand keeps 430 weak → Negotiation space is larger than 304/201.

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Scrap & Raw Materials

• 304 scrap: +20 RMB

• 201 scrap: +50 RMB

• 316 scrap: slight decrease

Trend: Raw material costs are rising slightly, which may limit further price drops next week.**

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4. Inventory & Supply Signals

• Exchange warehouse inventory dropped further (-1,500 tons).

• Mills are planning more maintenance in December → potential supply tightening later.

For overseas buyers:

• The current rebound is mild, but if maintenance deepens, prices may firm slightly in January.

• December remains one of the best purchasing windows before Q1 peak demand.

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5. What Buyers Should Do Now (Actionable Guidance)

For 304 buyers

• Prices rebounded slightly but remain low.

• If you purchase 304/2B, 304/BA, or HR/NO.1, it is a good time to lock in volume.

• Suitable for container-level procurement.

For 201 buyers

• Price movements are still very small.

• Good time for:

  • Monthly orders

  • Long-term contract negotiation

• J1/J2/J5 all remain cost-effective.

For 430 buyers

• Market weak → Best negotiation opportunity among all grades.

• If your market consumes 430 sheets/coils, consider increasing your purchase share now.

For importers planning Q1 shipments

• Mills’ maintenance + raw material cost support = early January may see mild increases.

• December is still the perfect low-price window.

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6. Summary

China’s stainless steel market is stabilizing with small increases in most grades.
Inventory remains high, domestic demand weak, and mills are reducing profits — creating a favorable environment for exporters and overseas buyers.

If you are planning to purchase 304, 201, or 430 coils/sheets, this week remains a good time to lock in competitive pricing.