BEIJING/MANILA: China's stainless steel futures soared 12% to a record high on Tuesday, powered by sky-rocketing raw material nickel prices on supply concerns due to the Ukraine-Russia crisis.

The most-traded stainless steel contract on the Shanghai Futures Exchange, for April delivery, jumped to 22,125 yuan per tonne in morning session - the highest level since its launch in 2019. They have soared around 24% so far this month.

The most-traded stainless steel contract on the Shanghai Futures Exchange, for April delivery, jumped to 22,125 yuan per tonne in morning session - the highest level since its launch in 2019. They have soared around 24% so far this month.

The surge in stainless steel comes after nickel prices spiked 90% to an all-time high in the previous session and extended gains on Tuesday. Russia supplies around 10% nickel to the world.

However, with LME nickel prices remaining strong and market sentiment towards downstream consumption relatively optimistic, stainless steel prices could further recover, Huatai Futures said.

China's Wuxi Stainless Steel Exchange Center halted trading for nickel products pending further notice and raised trading limits for both stainless steel products and nickel since settlement on March 7.

Other steel products on the Shanghai bourse retreated from Monday gains, with construction rebar for May delivery falling 1.4% to 4,942 yuan a tonne and hot rolled coils down 2% to 5,222 yuan per tonne as of 0325 GMT.

Benchmark iron ore futures on the Dalian Commodity Exchange dipped 0.8% to 835 yuan per tonne, declining for the first time in seven sessions.

Spot 62% iron ore still gained on Monday, by $4 to $163 a tonne, data compiled by SteelHome consultancy showed.

Dalian coking coal prices 0 edged 0.3% lower to 3,050 yuan a tonne. Coke prices increased 0.6% to 3,756 yuan per tonne.