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I. Market Conditions A. Supply Dynamics In the period from January to February 2025, domestic steel mills took proactive steps to cut production in consideration of the Spring Festival holiday. The estimated output for February reached 2.97 million tons, showing a year – on – year growth of 325,000 tons. As we moved into March, production started to recover gradually, with the planned output surging to 3.45 million tons, representing a year – on – year increment of 70,000 tons. Evidently, there is a clear tendency of more substantial capacity release on the supply front. B. Demand Scenario February customarily serves as the off – peak season for domestic stainless steel demand. Overall, demand remains in a relatively subdued state within the annual cycle. Downstream sectors are experiencing a slow recovery, which has led to lackluster procurement activities. March, being the traditional peak season in China, has generated high expectations for increased demand in the market. Nevertheless, the implementation of tariffs by the United States on China is a cause for concern. Although the direct exports of domestic stainless steel products to the US are limited, orders from downstream end – users of stainless steel could still be negatively impacted. As for that we export UAE, VietNam, Thailand pipes, Korea are still stable. C. Inventory Trends After the holiday, the supply from steel mills has seen further improvement, resulting in a relatively ample market supply. Social inventories have been on a steadily rising path, and steel mill inventories have also increased. The rate at which traders acquire goods has slowed down, and the pressure to manage market inventories remains persistent. II. Price Fluctuations A. February Price Developments Since February, the spot market prices of stainless steel have been marked by oscillatory patterns. By the end of February, the price of 304 cold – rolled stainless steel in private steel mills remained unchanged at 12,750 yuan per ton. In state – owned or joint – venture steel mills, 304 cold – rolled stainless steel was priced flat in the range of 13,650 – 13,750 yuan per ton. The price of 304 hot – rolled stainless steel increased by 50 yuan per ton, reaching 12,550 yuan per ton. The price of 201J1 cold – rolled stainless steel rose by 100 yuan per ton to 7850 yuan per ton, and the price of 430 cold – rolled stainless steel climbed by 130 yuan per ton to 7450 yuan per ton. B. March Price Outlook As we entered March, it is expected that stainless steel prices will continue to show oscillatory trends. On one hand, the increased capacity release on the supply side and the ongoing inventory pressure are likely to put downward pressure on prices. On the other hand, the high cost of raw materials offers a strong support base for the stainless steel market, significantly strengthening the market’s willingness to maintain price levels. Simultaneously, close attention should be paid to the continuous impact of Trump’s tariff policy and the influence of macro – policy announcements during the domestic Two Sessions on the price trends of stainless steel. Anyway , when you need any stainless steel products ,talk with Zyta freely!