Chendong Recycling to stop one ferronickel furnace
2023-04-24 12:04:03 [Print]
BEIJING (Asian Metal) 24 Apr 23 - Inner Mongolia Chendong Recycling Technology Co., Ltd., one major producer of high-grade ferronickel Ni 10%min S 0.45%max P 0.035%max in North China, plans to suspend one furnace in early May and produce up to 4,000t in May.
"Driven by the rebounding stainless steel prices, the current prices of high-grade ferronickel 10%min increase without recovering demand. Under high selling pressure, we plan to halt one furnace in early May and have no idea when to resume production before confirming the specific market demand. Our output would reach about 4,000t in May, compared to nearly 8,000t in April", a source from the company said, and added that they have two furnaces in operation now.
The producer holds an annual production capacity of 130,000t by three sets of production equipment. They produced about 79,000t in 2022 and hold around 8,000t in stock currently.
At weekends, the mainstream prices of Chinese high-grade ferronickel 10%min hovered at RMB1,100-1,120/mtu (USD159-162/mtu), up by RMB10/mtu (USD1.45/mtu) from the previous trading day. Given the current increasing high-grade ferronickel prices encouraged by the continuously increasing prices of stainless steel, insiders believe that the prevailing prices of Chinese high-grade ferronickel 10%min would keep going up in the coming week.
"Driven by the rebounding stainless steel prices, the current prices of high-grade ferronickel 10%min increase without recovering demand. Under high selling pressure, we plan to halt one furnace in early May and have no idea when to resume production before confirming the specific market demand. Our output would reach about 4,000t in May, compared to nearly 8,000t in April", a source from the company said, and added that they have two furnaces in operation now.
The producer holds an annual production capacity of 130,000t by three sets of production equipment. They produced about 79,000t in 2022 and hold around 8,000t in stock currently.
At weekends, the mainstream prices of Chinese high-grade ferronickel 10%min hovered at RMB1,100-1,120/mtu (USD159-162/mtu), up by RMB10/mtu (USD1.45/mtu) from the previous trading day. Given the current increasing high-grade ferronickel prices encouraged by the continuously increasing prices of stainless steel, insiders believe that the prevailing prices of Chinese high-grade ferronickel 10%min would keep going up in the coming week.
