As the Filame Group does every month, we have consulted our panel of suppliers to provide the most accurate estimate possible of the evolution of the price of alloy extras for the stainless steel grades that the Filame Group uses regularly.

In June, after the surge in May, we saw a drop in prices for the first time.

In July, we can see that the slight downturn continues.

This seems to reflect a drop in economic activity that began to be felt in June and which is notably due to the various geo-political events.

This movement does not mean that we will return to the prices that prevailed in 2019.  Indeed, the demand for nickel in particular remains very strong and is driven by the demand for this metal in the battery industry.

It should be noted that all suppliers still apply an energy surcharge ranging from €235/tonne to €385/tonne to take into account the increased energy costs. This surcharge, however, is not decreasing.

Filame reminds us that the price of the alloy surcharge is set month by month by the various suppliers according to the qualities of stainless steel they offer.  There are therefore differences between the various suppliers but the trend is noticeable for all of them.

Furthermore, the price is set on the day the material is delivered. There may therefore be differences between the time of ordering and the time of delivery, especially as delivery times have not decreased.

It should also be noted that the figures below are a general trend among steel manufacturers and that the price among slitters, wire drawers or wholesalers varies according to the quality requested, the nature of the product (sheet, coil, wire), the quantities requested, the thickness or diameter of the wire and the packaging.

Filame also draws the attention of its clients to the fact that, if necessary, it will have to adapt its prices in relation to the time of the order, depending on changes in the price of materials and the time of delivery.

As the Filame Group does every month, we have consulted our panel of suppliers to provide the most accurate estimate possible of the evolution of the price of the alloy surcharges for the stainless steel grades that the Filame Group uses on a regular basis.

For the month of June, after the surge in May, a drop in prices was noted for the first time in June.

It is too early to say whether this reflects a lasting downward trend in the markets, but the trend follows the one observed for steel prices.

It should be noted that all suppliers still apply an energy surcharge that varies from 235€/tonne to 385€/tonne to integrate the increase in energy costs.

Filame reminds that the price of the alloy surcharge is fixed month by month by the different suppliers according to the qualities of stainless steel they offer.  There are therefore differences between the various suppliers, but the trend is noticeable for all concerned.

Furthermore, the price is defined on the day the material is delivered. There can therefore be differences between the time of the order and the time of delivery, especially since delivery times are still quite long, even if they are stabilizing.

It should also be noted that the figures below are a general trend among steel manufacturers and that the price among slitters, wire drawers or wholesalers varies according to the quality requested, the nature of the product (sheet, coil, wire), the quantities requested, the thickness or diameter of the wire and the packaging.

Filame also draws the attention of its customers to the fact that it still may have to adapt its prices, if necessary, according to the evolution of the price of materials between the time of the order and the time of the delivery.

While steel prices rose until March, they stabilised in April and fell slightly in May.

Is this the beginning of a longer-term general trend? It is still too early to say.

The various steel suppliers on Filame’s panel have reported a drop in orders for these products over the last four weeks.

They explain this on the one hand by a car market that is clearly down, notably due to the shortage of components.  Other factors such as the war in Ukraine and the prolonged lockdown in China which has brought many companies to a standstill are also cited as having some influence.  All this has led to a drop in demand which has had a downward influence on prices.

Thus, while hot rolled coils were trading between €1330 and €1450/tonne in March and April, prices in April were more in the region of €1200/tonne. For cold rolled coils the price is just below 1300 €/tonne.  Wire follows the same trend.  Of course, one has to pay attention to the qualities and quantities desired, which also have an influence on the price level.

It is not possible to say for the moment whether stainless steel prices will follow the same direction.  Indeed, while the steel component may decrease, the alloy surcharge, which currently represents about 60% of the price, had risen sharply again in May.  Stainless steel prices are therefore much more linked to the evolution of Nickel and Chromium prices for which demand remains very strong.

As the Filame Group does every month, we have consulted our panel of suppliers in order to estimate as accurately as possible the development of the price of the alloy surcharges for the stainless steels that the Filame Group uses on a regular basis.

For the month of May, there was a very significant increase, sometimes of more than 10%, for the various alloy surcharges.

Tensions in the markets have not calmed down and international events, especially the war in Ukraine, which has become a long-term problem, have not really evolved.

It should be noted that all suppliers also apply an energy surcharge of up to €120/ton to account for the increase in energy costs. This surcharge is in addition to the energy surcharge of about 250 euros/ton that has been effective since the beginning of the year.

Filame recalls that the price of the alloy surcharge is set from month to month by the various suppliers according to the quality of the stainless steel they supply.  Thus, there may be differences among the various suppliers, but the trend is the same among all of them.

Moreover, the applicable price is the one on the day when the material is delivered. Therefore, there may be variations in these pices between the time of order and the time of delivery, especially since delivery times are still very long.

Filame therefore draws the attention of its customers to the fact that, if necessary, depending on changes in the price of materials and the time of delivery thereof, it may have to adjust the prices of current quotations/orders versus the time of the quotation/order itself.