The market trend of import of ferroalloy as of 30 April 2015 is as follows.


<> Silicon Metal = In the Chinese domestic market, the price of low-grade products mainly dropped, and the price of high-grade products of 2202 grade remained flat, but the price of 3303 grade dropped together. The price of low -grade product of 5.5.3 grade was down by CNY650 per ton from the end of March. 

In Japan, now the price collapse has started again, and the price difference between higher and lower quotations becomes bigger according to the sellers, but is has been sporadically seen that the lower quotation dips below US$1,900 per ton.

<>  Ferro-silicon = The demand in the Chinese domestic market is still weak, and the price of products with Si being 75% stopped to fall in the middle of April because the supply volume decreased due to prevalence of the producers' operation stop and the demand an supply balance is being improved. For that reason, both offer and contract prices meant for export became unchanged.

The Japanese domestic market was also affected by the price ceasing to fall in China, and the contract price of regularly exported products has continued to be flat since the middle of April.

The products distributed in the market was also affected by the price ceasing to fall in China, in addition to which, the roundabout products exported from China via a third country decreased, which led to decreased cheap-priced products in the market.

On the one hand, both offer and contract prices for Russian products remain unchanged.

<> Silico Manganese = The ratio of export incentive on silico manganese the Government of India lowered on April 1 was 4% for Europe and USA and 2% for Asia. Albeit the producers demand 15% price hike per ton in the offer price meant for Japan, the present situation shows the producers suffer from dipping below the profit line even with this price hike.

On the one hand, there are various opinions among buyers, and the customers which prefer to buy at a cheap price are negative in admitting a price hike, but no small number of customers admit the said price hike.

In China, the price ceased to fall in the middle of April, and continues to remain unchanged. Chinese major steel mills reduced their purchase price for May delivery by CNY150 per ton from the prior month, which however did not give an adverse impact because it has been analyzed that the price of imported manganese ore continuing to drop and the commencement of application of relatively cheap electricity rate for a full-water season in the southern area would be equivalent to the mills' lowered buying price of CNY150. 

On the other hand, as to the export meant for Japan, the offer price was lowered by US$25 - US$35 from the end of March, but there has been no particular contract.

<> Charge Chrome = At the present moment, many of high-carbon ferro-chrome producers are paying attention to the increase in the import of ferro-chrome in China. The feeling of affordability was generated by the price continuing to decline in the world market, which resulted in the increased purchase quantity of imported products by Chinese stainless steel mills. The increasing import of chrome ore also turned into a declining trend from 2014, and the import volume of high-carbon ferro-chrome which began to go up from 2013 marked 2.06 million tons in 2014, and still maintains an upward trend. The main contract form Japan and South Korea adopt is a long-term contract, whereas such impression is strong as China mainly adopts a spot contract, but China is a major customer for the producing countries.

As to spot goods, the trading in Japan has yet to be made.

<> Low-carbon Ferro-chrome = There has been no big change in the circumstances in the Japanese domestic market, and no change has been seen in both offer and contract prices.

<> Molybdenum = LME molybdenum price continued to fluctuate based on US$17,250 per ton in the latter half of April, but both prices of molybdenum oxide and ferro-molybdenum dropped and the current prices are at the same level as early March.

<> Manganese Metal = The price in China continues to drop and the main price in the market was down by CNY700 per ton from the end of March, which marked the same record low as before 2006. The information the Japanese major steel mill bought at a cheap price of US$1,740 - US$1,745 per ton CIF Japan in late April also gave an impact to the Chinese market and Chinese buyers have shown reluctance to buy at a high price and strong preference to buy a cheap-priced product. Besides, Chinese major steel mills seem to opine the anticipation of a price fall will continue for the time being, and show a movement to change the quantity in the tender to the one for one month which was usually for 2 months.

In Japan, there has been no contract at the same level apart from the aforementioned level for the major steel mill, but there has been a strong anticipation of a price fall in the market, and some of the market participants predict the contract prices for other spot goods also will be down to this level during May. On the other side of the coin, on alert against the sharp rebound in the Chinese domestic market, some shippers can't offer a cheap price, which makes the difference between higher and lower quotations bigger.

• [Editor:Sophie]