Global crude stainless output grows 2.3% YoY in Q3

Total production of crude stainless steel worldwide maintained on-year growth during the third quarter of this year, with the total tonnage rising by 2.3% from the same period last year to reach 16.07 million tonnes, according to new data released by Brussels-based worldstainless.

During July-September, crude stainless steel output in the United States posted the sharpest on-year rise among all producing countries of 11.6% to reach 538,000 tonnes, while that in Asia excluding China also climbed by 3.9% on year to 3.7 million tonnes, the release showed.

China, the world's largest stainless producer and consumer, produced 10.28 million tonnes of crude stainless steel during the July-September quarter, increasing by 3.9% compared with the same period last year.

The rise in these areas was partly offset by the decrease in production in other regions, with that in Europe excluding Russia and Ukraine falling by 11.3% on year to 1.34 million tonnes during the quarter, while the combined output of Brazil, Russia, South Africa and Ukraine registered 201,000 tonnes, tumbling by 20.1% from July-September last year, according to the release.

For the first three quarters of this year, crude stainless output globally totalled 48.02 million tonnes, higher by 3% from the first nine months of last year, the worldstainless data showed. Among the total, China's production reached 30.45 million tonnes, jumping by 4.7% on year.

Data released by the Stainless Steel Council of China Iron and Steel Association in late October showed that the country's stainless steel demand remained resilient during the first nine months, with China's apparent consumption of stainless standing at 24.91 million tonnes, higher by 905,900 tonnes or 3.8% on year.

However, China's stainless prices have hovered low since the start of this year, given the overall mismatch between stainless supply and demand, as the growth in demand was much lower compared with that of output, Mysteel Global noted.

By the end of September, the spot price of 304/2B Hongwang 2*1240mm stainless cold-rolled coil in Wuxi in East China's Jiangsu province under Mysteel's assessment was Yuan 13,050/tonne ($1,844/t) in-warehouse and including the 13% VAT, still a low level though it was Yuan 50/t higher compared with the end of last year.

Source:Mysteel Global