Grain-Oriented Silicon Steel Prices to Remain Stable in September
Grain-Oriented Silicon Steel Prices Expected to Remain Stable in September
In August, prices of mainstream grain-oriented silicon steel grades continued their downward trend, with grades including B23R085, B23P090 and 30G120 falling. The supply-demand balance shifted from surplus to deficit during the month, bringing prominent supply pressure that weighed on spot prices.
According to SMM's analysis, domestic grain-oriented silicon steel production schedule in August fell month-on-month, with production plans cut from July. However, overall output remained at a relatively high level, with high-induction grain-oriented silicon steel (HIB) being the major output and conventional grain-oriented silicon steel (CGO) accounting for a low share.
The market is expected to remain under pressure in September, with transformer manufacturers suffering from insufficient new orders and weak downstream restocking willingness. Although China's 15th Five-Year ultra-high voltage (UHV) projects continue to be rolled out, downstream enterprises will still purchase materials only as required. The domestic market faces short-term negative impacts from returned cargoes due to hampered exports.
In summary, SMM expects grain-oriented silicon steel prices to fluctuate in September 2026, with downside risks remaining. Major state-owned steel mills will mostly maintain high operating rates, keeping overall supply stable.