Turkish lumpy chrome ore sees low demand from China, prices move down
2014-08-28 08:34:47 [Print]
LONDON (Asian Metal) 28 Aug 14 - While the Chinese ferrochrome seeing further decline in purchasing prices from the major stainless steel mills, interests from China for chrome ore decline. The drop in demand for the raw material from Chinese buyers resulted in a USD5/t drop in prices, and the short term expectation is for prices to remain under pressure in the near term, despite Turkish supplier’s reluctance to lower offering figures further.
The current price for Turkish lumpy chrome ore 40-42% at USD245-255/t FOB Turkey, a USD5/t was experienced in the first half of this week.
A trader of chrome ore based in Turkey, with a sales volume of around 500-1,000 tonnes per month, quoted the mainstream price for Turkish lumpy chrome ore 40-42% at USD275-280/t CFR China, and noted the freight rates between Turkey and China are around USD25/t. The trader confirmed that there was a drop of USD5/t in prices so far this week, and remarked that it was caused by the pessimism of the Chinese ferrochrome market.
“Many people are expecting further drops in ferrochrome prices in September, and hence, do not want to purchase chrome ore now or would like us to reduce our prices to reflect the lower ferrochrome figures,” the trader said.
The trader revealed that he received a tender from China looking for lumpy chrome ore 40-42% at USD270/t CFR China earlier this week.
A second trader of chrome ore based in Europe, who typically deals with over 3,000 tonnes of chrome ore per month, put the mainstream price for Turkish lumpy chrome ore 40-42% at USD270-275/t CFR China. The source explained that many Chinese buyers are not willing to accept USD285/t CFR China anymore, and are asking for USD275/t CFR China instead.
“Unfortunately I cannot sell at USD275/t CFR China, minimally I would require USD275/t CFR China,” the trader remarked.
The current price for Turkish lumpy chrome ore 40-42% at USD245-255/t FOB Turkey, a USD5/t was experienced in the first half of this week.
A trader of chrome ore based in Turkey, with a sales volume of around 500-1,000 tonnes per month, quoted the mainstream price for Turkish lumpy chrome ore 40-42% at USD275-280/t CFR China, and noted the freight rates between Turkey and China are around USD25/t. The trader confirmed that there was a drop of USD5/t in prices so far this week, and remarked that it was caused by the pessimism of the Chinese ferrochrome market.
“Many people are expecting further drops in ferrochrome prices in September, and hence, do not want to purchase chrome ore now or would like us to reduce our prices to reflect the lower ferrochrome figures,” the trader said.
The trader revealed that he received a tender from China looking for lumpy chrome ore 40-42% at USD270/t CFR China earlier this week.
A second trader of chrome ore based in Europe, who typically deals with over 3,000 tonnes of chrome ore per month, put the mainstream price for Turkish lumpy chrome ore 40-42% at USD270-275/t CFR China. The source explained that many Chinese buyers are not willing to accept USD285/t CFR China anymore, and are asking for USD275/t CFR China instead.
“Unfortunately I cannot sell at USD275/t CFR China, minimally I would require USD275/t CFR China,” the trader remarked.
