Nippon Steel Corporation (NSC) recently announced a price increase of 20,000 yen per ton for its February 300 series stainless steel products, marking the largest monthly increase in 20 months, primarily driven by a surge in nickel prices.

The price increase was fueled by market concerns that Indonesia's planned nickel production cuts in 2026 could widen the supply-demand gap.

Furthermore, the exchange rate used by NSC for raw material purchases in February depreciated for the eighth consecutive month, with the yen reaching 157.38 yen to the US dollar, also pushing up the cost of imported raw materials.

To sum up, the high-level volatility in nickel prices, disruptions to the mining sector due to Indonesian supply policies, and the depreciation of the yen led Nippon Steel to raise prices for its 300 series stainless steel products.