Chinese silicon metal export prices move up further
2016-03-23 09:12:13 [Print]
BEIJING (Asian Metal) 23 Mar 16 - The prices of low-grade silicon metal 5-5-3 and 4-4-1 in Chinese local market increased further by around RMB200/t (USD31/t) to RMB10,500-10,700/t (USD1,613-1,644/t) and RMB11,000-11,200/t (USD1,690-1,720/t) delivered to ports respectively at the beginning of this week and the supply remained tight. And thus, the export prices went up by around USD20-30/t further with 5-5-3 and 4-4-1 to USD1,620-1,650/t and USD1,700-1,730/t FOB China respectively. Market participants reported that many overseas buyers have placed orders before the Spring Festival and added stocks gradually in the first half of March. Under the sharp price rise, buyers were inactive in making purchase recently.
A trader in South China reported that they mainstream quotations of 5-5-3 and 4-4-1 they received at the beginning of this week were around USD1,630-1,650/t and USD1,700-1,710/t FOB China respectively, around USD30/t higher against those of late last week. They sent the quotations to overseas buyers, while no deals were concluded. They received an inquiry of 50t of 2-2-0-2 on Monday and the offer from Chinese suppliers was USD2,000/t FOB China, unchanged from that in late last week. They are waiting for the buyer’s reply. “Chinese local silicon metal prices have increased too fast in the recent one month. Most of our customers are from Europe and some of them are inclined to purchase silicon metal with other regions. Our suppliers claimed that it is hard to buy the material on the spot market now and keep raising offer almost every day. They claimed that the situation will continue at least until mid-April. But we think the market is risky and still intend to purchase on orders,” said the trader.
With a regular export volume of around 500tpm of silicon metal, the trader claimed that they have only delivered 360t of the material based on Q1 order signed with a regular customer signed previously and no deals were concluded on the spot market till now in March.
A second trader in South China told Asian Metal that the mainstream quotations of 5-5-3 and 4-4-1 from domestic smelters increased by around RMB200/t (USD31/t) further to RMB10,500/t (USD1,613/t) and RMB11,000/t (USD1,690/t) delivered to ports respectively early this week, and they raised the export quotations by around USD30/t to USD1,630/t and USD1,700/t FOB China respectively. They only finalized a small deal of two truckloads of 4-4-1 and buyers for 5-5-3 were reluctant to accept the price. “We have some 5-5-3 stocks, which were purchased at RMB9,800/t delivered to ports in early February. But the prices on the spot market are increasing sharply and the supply is unlikely to increase obviously until May, so we only have to raise offer continually following the current local prices,” said the trader. “Many overseas buyers have make purchase just after the Spring Festival holiday and the inquiries we received decreased in the recent two weeks.”
The trader, with a regular export volume of around 800tpm of silicon metal, claimed that they have around 400t of stock in hand, and some are prepared for long-term orders. They purchase silicon metal gradually on the spot market on orders now and do not intend to add stocks in large quantities under the current market price.
A trader in South China reported that they mainstream quotations of 5-5-3 and 4-4-1 they received at the beginning of this week were around USD1,630-1,650/t and USD1,700-1,710/t FOB China respectively, around USD30/t higher against those of late last week. They sent the quotations to overseas buyers, while no deals were concluded. They received an inquiry of 50t of 2-2-0-2 on Monday and the offer from Chinese suppliers was USD2,000/t FOB China, unchanged from that in late last week. They are waiting for the buyer’s reply. “Chinese local silicon metal prices have increased too fast in the recent one month. Most of our customers are from Europe and some of them are inclined to purchase silicon metal with other regions. Our suppliers claimed that it is hard to buy the material on the spot market now and keep raising offer almost every day. They claimed that the situation will continue at least until mid-April. But we think the market is risky and still intend to purchase on orders,” said the trader.
With a regular export volume of around 500tpm of silicon metal, the trader claimed that they have only delivered 360t of the material based on Q1 order signed with a regular customer signed previously and no deals were concluded on the spot market till now in March.
A second trader in South China told Asian Metal that the mainstream quotations of 5-5-3 and 4-4-1 from domestic smelters increased by around RMB200/t (USD31/t) further to RMB10,500/t (USD1,613/t) and RMB11,000/t (USD1,690/t) delivered to ports respectively early this week, and they raised the export quotations by around USD30/t to USD1,630/t and USD1,700/t FOB China respectively. They only finalized a small deal of two truckloads of 4-4-1 and buyers for 5-5-3 were reluctant to accept the price. “We have some 5-5-3 stocks, which were purchased at RMB9,800/t delivered to ports in early February. But the prices on the spot market are increasing sharply and the supply is unlikely to increase obviously until May, so we only have to raise offer continually following the current local prices,” said the trader. “Many overseas buyers have make purchase just after the Spring Festival holiday and the inquiries we received decreased in the recent two weeks.”
The trader, with a regular export volume of around 800tpm of silicon metal, claimed that they have around 400t of stock in hand, and some are prepared for long-term orders. They purchase silicon metal gradually on the spot market on orders now and do not intend to add stocks in large quantities under the current market price.
Silicon Metal 4-4-1 Delivered Europe
Unit:EUR/mt
China silicon metal producers' sales volume statistics by province by month
Unit: mt
