US stainless steel market worries short supply on soaring future demand
7 Dec 2020 16:23 reported by Wesley Kuo
The recent rebound of demand in the US stainless steel industry has led to shortages for several kinds of steel.
Many buyers are still unwilling to prepare more inventory. Instead, they continue to focus on current demand; while stainless steel producers are reducing inventories, so that capacity is decreasing and delivery time is increasing.
Distributors are gradually worried that if there is an explosive demand in the new year, they will not be able to supply on time. However, in the case of such a long delivery time, if the improvement in demand is not carried out, there will be excess inventory.
Therefore, these demand-side and supply-side factors have both provided a pricing opportunity for US stainless steel mills, leading to an upward trend in the prices.
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