304 vs 316 — Reading the Alloy Sheet Through the Nickel Lens
Quick Summary
304 carries 8–9% nickel; 316 adds 2–3% molybdenum and 10–11% nickel. With nickel up 10.35% year-on-year at 16,680 USD/t, the cost gap between the two grades widens on the nickel line alone.
The Question Behind the Grade
"Should I specify 304 or 316?" is the most common technical question buyers ask. The answer lives in the alloy sheet — and in 2026, the nickel line decides much of the cost.
The Chemistry, Side by Side
| Element | 304 (S30400) | 316 (S31600) | What it does |
|---|---|---|---|
| Nickel (Ni) | 8–9% | 10–11% | Austenite stability, toughness |
| Chromium (Cr) | 18–20% | 16–18% | Corrosion resistance |
| Molybdenum (Mo) | — | 2–3% | Pitting/crevice resistance in chlorides |
| Carbon (max) | 0.08% | 0.08% | 316L drops to 0.03% |
Cost Through the Nickel Lens
At 16,680.13 USD/t nickel (Aug 6, 2026, +10.35% YoY):
| Grade | Ni per tonne | Ni value | Mo per tonne | Mo value* |
|---|---|---|---|---|
| 304 | ~85 kg | ~1,418 USD | 0 | 0 |
| 316 | ~105 kg | ~1,751 USD | ~25 kg | ~+ (Mo premium) |
| Delta | +20 kg | +333 USD | — | — |
*Molybdenum carries its own market premium; the nickel line alone adds ~333 USD/t of cost to 316 versus 304.
When the Extra Cost Buys Protection
| Environment | 304 | 316 |
|---|---|---|
| Indoor / urban | ✓✓✓ | ✓✓ |
| Marine / chloride | ✗ (pitting risk) | ✓✓✓ |
| Chemical / acid clean | ✓✓ | ✓✓✓ |
| Budget constraint | ✓✓✓ | ✓ |
How to Choose
- No chloride exposure → 304 is the rational default; the 333 USD/t nickel delta is cost you do not need to spend.
- Coastal, chemical, or hygienic-with-aggressive-cleaners → 316 earns its premium through corrosion life, not just spec.
- Watch the nickel trend. At +10.35% YoY, the 304/316 cost gap is wider than a year ago — justify 316 on environment, not on habit.
The Bottom Line
304 and 316 are not "better or worse" — they are different bets. Read the alloy sheet, read the environment, and in 2026, read the nickel price before you default to 316.
Related: Nickel Pulls Back to $16,680 — Stainless Cost Pressure · China Steel Prices Slip Year-on-Year
