GO Silicon Steel Price Dynamics Shanghai B23R085 grade: 12,200-12,200 yuan/mt Wuhan 23RK085 grade: 11,600-11,600 yuan/mt This week, China's domestic grain-oriented silicon steel market showed overall regional divergence. Shanghai spot prices remained stable, while Wuhan market quotes weakened and declined. Steel mills held a strong intention to hold prices firm, raising the base price for GO silicon steel by 50 yuan/mt in August, with no significant change in ex-works policies. The supply-demand situation stayed generally stable. Steel mill production pace was steady, resource supply was orderly, and market circulation inventory remained within a reasonable range, though regional inventory digestion speed varied. Downstream end-users such as transformer enterprises were mainly purchasing as needed and making just-in-time procurement. The overall transaction pace was moderate, and market trading sentiment was cautious and rational. Shanghai traders insisted on stabilizing prices for shipments and adopted a wait-and-see attitude, while Wuhan merchants faced increasing pressure to sell, leading to a rise in small price concessions. Looking at the overall market fundamentals, bullish and bearish factors currently check each other. The cost side provided bottom support, coupled with the underpinning effect of steel mill pricing policies, limiting room for a deep decline. However, the demand side showed no clear improvement. Overall, the GO silicon steel market is expected to consolidate on a subdued note next week, with a slight downward bias. Some room for price reduction exists locally. The market remains dominated by just-in-time procurement and a wait-and-see approach to maintaining stability, making a one-sided price trend unlikely in the short term. Data Source Statement: Except for publicly available information, other data are derived from public information, market communication, and SMM's internal database models, processed by SMM. They are for reference only and do not constitute decision-making advice. Note: This article is original content belonging to this official account. For reprint, whitelisting, cooperation, and other requests, please contact us. Without permission, reproduction, modification, use, sale, transfer, display, translation, compilation, and dissemination of the above content, or disclosing it to or permitting its use by any third party in any other form, is prohibited. Otherwise, once discovered, Shanghai Metals Market will pursue legal liability for infringement, including but not limited to claiming contractual breach liability, restitution of unjust enrichment, and compensation for direct and indirect economic losses.

[Daily Briefing on Domestic Iron Ore] This week China's iron ore concentrates market prices were largely stable. By region, prices in Hebei's Tangshan, Qian'an, and Qianxi edged down 1-5 yuan/mt; in western Liaoning's Chaoyang, Beipiao, and Jianping they were largely stable; and in east China they rose 1-5 yuan/mt. Looking ahead to next week, production resumption expectations for domestic ore exist in some areas, and domestic concentrates output may edge up slightly, but resources will remain tight overall. On the demand side, environmental protection inspections strengthened, maintenance expectations for some steel mills in north China increased, and hot metal output is expected to continue its downward trend. In the short term the market is characterized by weak supply and demand. Next week China's iron ore concentrates prices are expected to consolidate on a subdued note. [SMM Iron Ore]

Nickel prices extended their upward trend this week. The most-traded SHFE nickel contract posted a "five-day winning streak" on its daily chart, decisively breaking through the 133,000 yuan/mt level and holding above it, with a weekly gain of over 2%. LME nickel rose in tandem to $17,500/mt, hitting a near one-month high. The drivers behind the nickel price rally remained the "Indonesia export control policy + Strait of Hormuz sulfur crisis + continuous LME inventory destocking." In the spot market, the average price of SMM #1 refined nickel was 131,440 yuan/mt this week, up 2,250 yuan/mt WoW. The premium for Jinchuan refined nickel weakened continuously this week, falling to 1,500 yuan/mt, while mainstream electrodeposited nickel was quoted at a discount between -300 and -500 yuan/mt. As futures prices continued to rebound, downstream purchasing interest remained low and was limited to just-in-time procurement. Overall spot market transactions were relatively sluggish. On the macro front, geopolitical tensions remained elevated this week. The US military launched another strike on Iran, and President Trump stated he was "seriously considering" restarting large-scale combat operations against Iran. If the Strait of Hormuz remains blockaded, the difficulty of restoring Middle East sulfur supply will increase. Policy expectations for the US Fed's July FOMC meeting became clearer. The latest CME FedWatch Tool data showed a 65.3% probability of the Fed holding rates steady at the July meeting, versus a 34.7% chance of a 25bp hike, with a consensus forming for staying pat in July. The suppressive pressure from the macro front on non-ferrous metals marginally eased. Inventory side, as for inventories, Shanghai Bonded Zone inventory stood at around 1,700 mt this week, flat WoW. China's social inventory was about 130 kt, reflecting a buildup of approximately 1,800 mt WoW. LME's five consecutive days of destocking this week offered a positive signal, though absolute levels remained at historical highs. If the destocking trend persists, the foundation for a nickel price rebound will become more solid. The US-Iran conflict continues and could escalate, leaving sulfur supply risks in place, and the quantitative magnitude of supplementary RKAB quotas remains the key factor behind the subsequent nickel price trend. The core trading range for the most-traded SHFE nickel contract next week is expected to be 130,000-137,000 yuan/mt.

Non-oriented Silicon Steel Price Dynamics Shanghai, grade B50A800: 4,380-4,380 yuan/mt Guangzhou, grade B50A800: 4,200-4,200 yuan/mt Wuhan, grade 50WW800: 4,280-4,280 yuan/mt Shanghai market: This week, spot prices of cold-rolled non-oriented silicon steel in Shanghai remained in the doldrums, with no improvement in overall transactions. Market feedback indicates that current demand remains weak, downstream motor enterprises have weak ordering demand and mainly make just-in-time procurement in small batches, traders exhibit strong wait-and-see sentiment, low willingness to stockpile, and not high inventory levels, maintaining a cautious wait-and-see attitude toward the market outlook. Overall, it is expected that spot prices of cold-rolled non-oriented silicon steel in Shanghai will continue to remain in the doldrums next week. Guangzhou market: This week, the cold-rolled non-oriented silicon steel market in Guangzhou was in the doldrums, and transactions were sluggish. Market feedback indicates that, dragged by weak off-season demand, there is still some room for price decline in non-oriented silicon steel, and traders focused on securing sales. Overall, it is expected that prices of cold-rolled non-oriented silicon steel in Guangzhou will continue to remain in the doldrums next week. Wuhan market: This week, the cold-rolled non-oriented silicon steel market in Wuhan was in the doldrums, with poor transactions. Market feedback indicates that traders actively sold and actual transactions were negotiable; downstream purchasing enthusiasm was moderate; currently, circulation of state-owned resources in the market is limited, but low-to-medium grades have not yet adjusted their prices. Overall, it is expected that spot prices of cold-rolled non-oriented silicon steel in Wuhan will continue to remain in the doldrums next week. Data Source Statement: (In this report, data other than public information come from public information (including but not limited to industry news, seminars, exhibitions, corporate financial reports, broker reports, National Bureau of Statistics data, customs import and export data, and various data released by major associations and institutions), market communication, and SMM's internal database model, and are obtained through comprehensive analysis and reasonable inference by the research team. They are for reference only and do not constitute decision-making advice. SMM reserves the right of final interpretation of the terms of this statement and the right to adjust and modify the content of the statement according to actual circumstances.

SMM July 24 news: The futures turned slightly lower today, while spot cargo in south China held relatively firm. Although the absolute price declined, it was still the last day of the monthly average long-term contract, with the day's price still significantly high. Combined with relatively high spot-futures price spreads, some suppliers actively adjusted prices and sold more to cash in at high levels, creating a certain drag. Others, based on the reality of continued destocking, firmly held prices steady and did not follow the low quoting. Mainstream quotations were at a discount of 10-0 yuan/mt, and circulation was controlled. Demand side, with price declines, downstream just-in-time procurement was moderate, offering support. Traders pushed for lower prices to purchase but failed to fully meet their needs, and then gradually raised prices to restock, particularly for cargoes with invoices dated this month. The supply-demand pattern tended to improve, and overall transactions showed a recovery. Spot transaction prices were concentrated at a premium of 45-65 yuan/mt over the SHFE aluminum 2608 contract.

[SMM Analysis] Stainless Steel Products and Costs Edge Up in Tandem, Steel Mill Profits Stable This week, stainless steel product prices and production costs edged up in tandem, while steel mill smelting profits remained basically stable overall. Based on calculations for 304 cold-rolling, the profit margin this week was 2.15% when accounting for raw materials at current prices and 1.11% when accounting for inventory raw materials, indicating that stainless steel mills still maintain certain smelting profits. Nickel-based raw materials side, high-grade NPI prices were largely stable this week. Although SHFE nickel and SS futures held up well overall during the week, the current traditional consumption off-season for stainless steel meant steel mills' purchase demand for NPI remained persistently weak, with very few actual transactions concluded recently. Amid the tug-of-war between longs and shorts, NPI prices remained steady this week. As of this Friday, the delivered duty-paid price for China's 10-12% grade Indonesian high-grade NPI remained stable at 1,132.5 yuan per nickel unit. Stainless steel scrap prices edged up this week, lifted by stronger SS futures driving spot prices higher. However, the temporarily stable high-grade NPI prices narrowed scrap's economic advantage. The current traditional consumption off-season persists, downstream demand is sluggish, and steel mills are cautious in purchasing, mainly transacting on a need-to basis. Under the dual constraints of weak demand and diminishing substitution benefits, upward momentum for stainless steel scrap was insufficient. In the short term, it will maintain largely stable consolidation supported by futures resilience, with limited upside room. As of this Friday, mainstream 304 off-cuts prices in Shanghai rose by 200 yuan/mt, quoted at 10,450 yuan/mt. Chrome-based raw materials side, high-carbon ferrochrome prices operated stably this week. Although ferrochrome supply remains relatively ample currently, coupled with demand pulling back amid off-season production cuts for stainless steel, recent high-cost ferrochrome...

[SMM Daily Coking Coal and Coke Brief Commentary] Coking Coal Market: The quoted price for low-sulphur coking coal in Linfen is 2,020 yuan/mt. Regarding coking coal, strict safety supervision remains in place, with halted mines resuming production more slowly than expected, creating strong support as the supply side is under pressure to secure output. However, the first round of coke price cuts has been implemented, and weak downstream transmission has led to a strong wait-and-see sentiment. New order signings at coal mines have plummeted, and failed online auctions have been frequent. Amid the tug-of-war between bullish and bearish factors, short-term coking coal prices are highly likely to remain in the doldrums. Coke Market: The nationwide average price for dry-quenched quasi-first-grade metallurgical coke is 2,035 yuan/mt. Supply side, after the implementation of the first round of coke price cuts, most coking enterprises have fallen into losses. However, the market expects further downside room for coking coal prices, so the overall operating rate of coking enterprises remained stable. This, combined with coking enterprises proactively slowing down shipments, has led to a sustained inventory buildup at plants, highlighting supply-side pressure. Demand side, downstream end-use demand was generally weak. Blast furnaces at steel mills entered a concentrated maintenance cycle, leading to a more conservative procurement strategy and strict controls on incoming coke volumes. Overall, the coke supply-demand pattern has loosened further, making short-term prices more likely to fall than rise, and a second round of price cut expectations is widespread in the market. [SMM Steel]

[SMM Nickel Flash] The average price of SMM 10-12% high-grade NPI dropped 2.2 yuan/nickel unit WoW to 1,127.2 yuan/nickel unit (ex-factory, tax included), and the Indonesian NPI FOB index average price dropped $0.42/nickel unit WoW to $145.34/nickel unit. This week, the high-grade NPI spot market remained in a state of intense supply-demand game, with a persistent significant gap between the psychological price levels of upstream and downstream players.

The SMM average price for 10-12% high-grade NPI fell WoW by 2.2 yuan/nickel unit to 1,127.2 yuan/nickel unit (ex-factory, tax included), while the Indonesia NPI FOB index price average fell WoW by $0.42/nickel unit to $145.34/nickel unit.

[SMM Stainless Steel Scrap Market Weekly Review] SS Futures Strength Drives Slight Uptick in Stainless Steel Scrap, Off-Season Demand Weakness Caps Price Gains This week, prices for 304 stainless steel scrap off-cuts in east China edged up, with quotations ranging between 10,400-10,500 yuan/mt. Prices in Foshan rose in tandem, with a price range of 10,300-10,600 yuan/mt. An analysis of raw material production costs shows that the cost of producing stainless steel entirely from stainless steel scrap is approximately 14,607.48 yuan/mt, while the cost using high-grade NPI reaches 14,962.08 yuan/mt, with a cost spread persisting between the two. Stainless steel scrap prices edged up this week. SS futures strengthened overall during the week, and the positive sentiment from the futures side was smoothly transmitted to the spot market, driving a slight concurrent rise in spot prices for finished stainless steel. However, stainless steel mills continued to push for lower prices for high-grade NPI, and amid the tug-of-war between upstream and downstream, high-grade NPI prices held steady for the time being. Overall momentum from the raw material side remained weak, but stainless steel scrap rose in tandem with the strengthening pace of finished product spot cargoes, holding up well overall. With high-grade NPI prices remaining stable this week, the economic advantage of stainless steel scrap narrowed notably, and the cost substitution benefit weakened. In summary, futures provided support for market prices, but off-season fundamentals continued to cap price upside. The market is currently in the traditional consumption off-season for stainless steel, downstream end-use demand remains sluggish, overall industry production pulled back, and the rigid demand for stainless steel scrap weakened accordingly. The purchasing sentiment among steel mills turned cautious, and raw material procurement overall this week...