7 July 2022 – As early as 1 July 2022, the Safeguard quotas for stainless steel bars originating in India were overbooked by 50%, according to current estimates. Steel bar market picks up. Positive price sentiment on steel price development for EU member Germany. And SHFE futures are positive today.
Stainless Steel Bars: Indian EU Safeguard Quotas Already Overbooked by 50%?
Although the European Commission remains silent on why the new Safeguard quotas were blocked from 1 to 8 July and there is no official announcement on this, estimates and calculations of imports so far are nevertheless being made.
Indian Safeguard quota already overflowing
According to an estimate from 1 July 2022, which we were allowed to view, the country-specific quota for stainless steel bars originating in India was already overbooked by more than 50% on the first day of the new Safeguard tariff quotas.
Steel bar market in positive uptrend
Although this is another sign that the bar and stainless steel market is doing well and demand has picked up significantly, it is bitter to see such a rush for one origin and then have to pay 25% Safeguard duties. Especially if you keep in mind that stainless steel bars from India are also subject to 15% export tax.
Find alternatives for stainless steel bars now
In view of the high energy cost surcharges, manufacturers in Europe are unlikely to be able to find alternatives. The increase in demand for stainless steel bars is there and the stocks will have to be filled again in the next few months. And the German market is already showing a much more positive price trend.
SHFE Base Metal Futures show positive trend
SHFE base metal futures have risen in many cases today. Nickel futures are rising by more than 2% in some cases. Stainless steel futures also climbed by more than 1%. Aluminium is up by around 0.8%, copper by 1.35%, iron ore by just under 4% and coke by around 3.2%.
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We at the Gerber Group have been trading in stainless steel worldwide for over 20 years. We are your experts when it comes to purchasing, import, logistics and services. Information is a vital part of this. Because only then can you and we make the right decisions. Do you have any questions? Contact us now.
Disclaimer: Many things here represent our opinion. Others are information from the Internet. We can therefore never claim to be correct or complete. And never base a business decision solely on the news you receive from us.