[Ferro-Alloys.Com]The domestic price kept stable this week, with more producers shutting down their furnaces. The bankruptcy for the small companies is inevitable. The supply of the ferrochrome in the market is over sufficient for the market needs, with serious overproduction. The ex-work price remains at RMB6,250-6,500/mt in a downward trend. The price is expected to go down by most of the producers.

 

Due to the increase number of works that is under maintenance in South Africa, and the reduction of FeCr in India by short supply of chrome ore, the future and spot price of imported FeCr kept stable this week. Meanwhile, it is a thin market because of the low price in China and low motivation of exporters in both South Africa and India.

 

In the European Market, the high carbon FeCr(C6-8%, Cr60-65%) was quoted at USD1.04-1.1/lb, and the low carbon FeCrC0.1(Cr60-70%) at USD2.08-2.15/1b. In the American Market, the high carbon FeCrC6-8%, C60-65% was quoted at USD1.11(-0.01)-1.18/1b, micro-carbon FeCr(C0.05, Cr60min%) at USD2.25-2.28/1b, low carbon FeCr (C0.1, Cr62min%) at USD2.08-2.1/1b DDP FOB Pittsburgh, USA.

 

Currently, the price of the low carbon and micro-carbon FeCr keeps stable in general. The mainstream EX works price of low carbon FeCr C25 is quoted at RMB11,700/60mt, micro-carbon C6 at RMB12,200-12,400/60mt. Since steel mills cut down the purchase price, it becomes tough for the transactions and the producers have to lower the material cost. The silicon chrome EX works price falls by about RMB100/mt in the context of low carbon and micro-carbon FeCr market, consequently, it is quoted at RMB7,700-7,800/mt in Gansu and Inner Mongolia, RMB7,600-7,700/mt (with tax by cash) in Qinghai and Sichuan.

 

In the second half of August, the mainstream price of chrome metal rose up to USD9,300/t in European Market, the quotation from Chinese manufacturers kept stable. The mainstream EX work price of chrome metal was RMB58,000-62,000/t in Jinzhou area, and RMB54,000-55,000/t in Hunan and Henan area. The production of large producers recovered recently, which relieved the tension of supply. The downstream demand kept at low level and most of the buys made small batch quality purchase.

 

 

 

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