Chinese ferrovanadium prices keep moving down
2023-03-30 07:49:17 [Print]
BEIJING (Asian Metal) 30 Mar 23 - Due to the sufficient supply, Chinese ferrovanadium 50%min market mentality stayed weak during the past week. Currently, the mainstream prices of Chinese ferrovanadium 50%min stand at RMB140,000-142,000/t (USD41-41.6/kg V) delivered D/A 180 days, down by RMB4,000/t (USD1.2/kg V) from late last week. Considering that inquiries in spot market continues, insiders believe that the mainstream prices of Chinese ferrovanadium 50%min would move down slightly in the coming week.
"Steel mills' ferrovanadium 50%min bidding prices dropped to the latest around RMB139,700/t (USD40.9/kg V) delivered D/A 180 days, which seriously reduced our confidence. In order to promote sales, we could accept RMB140,000/t delivered D/P now," said a producer in Northeast China. They just sold 10t o ferrovanadium 50%min at RMB144,000/t (USD42.2/kg V) delivered D/P this Monday and 10t at RMB145,000/t (USD42.5/kg V) late last week. Prices of vanadium pentoxide flake 98%min they inquired also moved down to the latest around RMB132,000/t (USD8.9/lb V2O5) EXW D/P. In view of the dropping raw material prices and rare inquiries in spot market, they predict that the mainstream prices of Chinese ferrovanadium 50%min would drop below RMB140,000/t (USD41/kg V) in the coming week.
With an annual production capacity of 6,000t, they produced bout 480t in 2022 and about 80t in the first two months of 2023. The producer expects to produce about 40t this month, almost the same as February, holding around 20t of regular stocks now, unchanged MoM.
"Buyer kept reluctant to purchase as they could easily find enough goods in spot market during the past week. In order to guarantee our market competitiveness, we could accept RMB140,000/t (USD41/kg V) delivered D/P now," said another producer in Northeast China. They just sold 10t of ferrovanadium 50%min at this price level this Wednesday. However, they refused to sell at any prices below RMB145,000/t (USD42.5/kg V) just one week ago. Considering that most buyers prefer to watch the market and they face increasing inventory pressure now, they expect that the mainstream prices of Chinese ferrovanadium 50%min would drop by around RMB2,000/t (USD0.6/kg V) in the following week.
With an annual production capacity of 3,600t, they produced about 500t in 2022 and about 150t so far this year. They expect to produce about 50t this month, the same as February. They have around 20t of regular stocks for the moment, unchanged MoM.
"Steel mills' ferrovanadium 50%min bidding prices dropped to the latest around RMB139,700/t (USD40.9/kg V) delivered D/A 180 days, which seriously reduced our confidence. In order to promote sales, we could accept RMB140,000/t delivered D/P now," said a producer in Northeast China. They just sold 10t o ferrovanadium 50%min at RMB144,000/t (USD42.2/kg V) delivered D/P this Monday and 10t at RMB145,000/t (USD42.5/kg V) late last week. Prices of vanadium pentoxide flake 98%min they inquired also moved down to the latest around RMB132,000/t (USD8.9/lb V2O5) EXW D/P. In view of the dropping raw material prices and rare inquiries in spot market, they predict that the mainstream prices of Chinese ferrovanadium 50%min would drop below RMB140,000/t (USD41/kg V) in the coming week.
With an annual production capacity of 6,000t, they produced bout 480t in 2022 and about 80t in the first two months of 2023. The producer expects to produce about 40t this month, almost the same as February, holding around 20t of regular stocks now, unchanged MoM.
"Buyer kept reluctant to purchase as they could easily find enough goods in spot market during the past week. In order to guarantee our market competitiveness, we could accept RMB140,000/t (USD41/kg V) delivered D/P now," said another producer in Northeast China. They just sold 10t of ferrovanadium 50%min at this price level this Wednesday. However, they refused to sell at any prices below RMB145,000/t (USD42.5/kg V) just one week ago. Considering that most buyers prefer to watch the market and they face increasing inventory pressure now, they expect that the mainstream prices of Chinese ferrovanadium 50%min would drop by around RMB2,000/t (USD0.6/kg V) in the following week.
With an annual production capacity of 3,600t, they produced about 500t in 2022 and about 150t so far this year. They expect to produce about 50t this month, the same as February. They have around 20t of regular stocks for the moment, unchanged MoM.
