[Ferro-Alloys.com] Chinese ferro-silicon smelters held their offer prices, which earlier this month hit a 27-month low, last week in expectation of renewed demand from consumers in the steel sector ahead of a national holiday next week, while in Europe steelmakers seemed in no rush to replenish their ferro-alloys feedstocks.
Faced with high and increasing emissions costs during a period of challenging market conditions, the steel industry is driving a change toward carbon neutral and fossil-fuel-free steel production in a bid to evolve and stay afloat.
Many European steel producers have reported significant falls in profits in recent results due to weaker demand for steel during an economic downturn, the disruption of traditional trade flows and the EU's subsequent safeguard measures. Additionally, carbon emission costs are running into the millions of dollars, leaving companies to look for alternative feedstocks to reduce their carbon costs.
The long-lasting downtrend in the international scrap market, which has pushed prices to three-year lows this month, has led to the point where steelmakers which use electric-arc furnaces (EAFs) have a significant advantage over those equipped with blast furnaces (BFs), which use iron ore as a feed.