📰 Stainless Steel Industry Update 📰

🔥 Indonesian Stainless Steel Factory Announces Production Halt 🔨

A major stainless steel cold rolling factory in Indonesia, with an annual capacity of up to 700,000 tons, has announced a production halt of at least two months. Speculations are rife regarding the reasons behind this decision, which may include routine maintenance and supply issues due to the ongoing shortage of nickel ore in Indonesia.

💥 Recurrent Explosion at Tsingshan Nickel Smelter 💥

An explosion has once again occurred at the Tsingshan Group's nickel smelter located in the Morowali Industrial Park (IMIP) in Indonesia, injuring at least two workers. This follows a severe explosion in December 2023 that resulted in several fatalities, with the latest incident believed to be caused by the same circumstances.

📈 Surge in Chrome Ore and Ferrochrome Prices 📈

Since mid-May 2024, the price of chrome ore from South Africa has risen by as much as 6.2%, primarily driven by the sustained high demand from China and its stainless steel industry. China has been importing more chrome ore and ferrochrome from South Africa in recent months.

🇹🇷 Rising Chrome Ore Prices in Turkey 🇹🇷

Similarly, since the beginning of June, there has been a 2.8% increase in the price of chrome ore in Turkey. The price increase for chrome ore lumps has been reversed, with a less than 2.6% increase in South Africa, while the price for lumps originating from Turkey has risen by approximately 4.8%.

🌏 Impact on Global Markets 🌏

The significant increase in chrome ore prices is also reflected in the prices of ferrochrome in Asia, with recent increases of over 2.2% in China. It will be interesting to observe the effects of these price hikes on Europe and North America following the conclusion of the European ferrochrome benchmark prices.