First Half Market Review: Overall Downturn with Significant Periodic Fluctuations

The stainless steel market experienced an overall volatile downward trend in the first half of 2025, with distinct price fluctuations across different varieties and months.

Price Performance: Taking 304 welded pipe as an example, prices fell by 3.11% month-over-month and 4.13% year-over-year in the first half of the year; 316L welded pipe prices fell by 2.27% month-over-month and 1.53% year-over-year. 200 series welded pipe prices fell by 100-300 yuan/ton, while some 300 series specifications saw periodic increases of 200-500 yuan/ton. However, prices subsequently fell again due to weak raw material prices and sluggish demand. Core Drivers:

Cost: Prices of related products (such as coiled steel) declined overall in the first half of the year. LME nickel prices fell by 0.22% in May, weakening cost support.

Demand: Demand from downstream industries (such as real estate and decoration) remained weak, businesses were slow to resume work, and purchases were primarily based on essential needs, resulting in sluggish market transactions.

Market Sentiment: After April, tariff friction intensified, futures market volatility led to a strong bearish sentiment among manufacturers, frequent price competition, and rising inventory pressures.

Mid-Year to August Market: Low-level fluctuations, with some varieties rebounding.

Stainless steel prices continued to decline from late May to June, with some varieties experiencing a structural rebound after July driven by cost pressures.

Price Differentiation:

Plate: In May, prices of some specifications of 304 stainless steel plate decreased by 50-100 RMB/ton, while prices of varieties such as 316L remained stable.

In August, the market price of 304 cold-rolled rough edged steel increased by 50 RMB/ton.

Welded pipe: After falling to a low point in the first half of the year, the second half of the year is expected to be strong before weakening, but overall supply will remain in excess of demand.