Manganese Alloys and Ore Market Summary July 2017

With steel mills ending bidding during early July, the demand for manganese alloys from downstream market improved significantly.Asian Metal Copyright It is expected that the ports will see high-priced manganese ore in the coming 1-2 months, so prices for manganese ore are likely to keep firm in the near future.Asian Metal Copyright Major steel mills including HBIS all increased their purchases of silicomanganese by 2,000-3,000t from last month and producers of the material kept raising quotations as they were confident about the market outlook. Entering mid-to-late July, mainstream prices for silicomanganese 65/17 continued to go up supported by high costs resulted from sharply increased raw material prices. Besides, affected by the strong demand for silicomanganese from steel mills and higher profit of rebar, spot prices for silicomanganese were as high as RMB6,800-7,000/t (USD1,016-1,046/t) D/P VAT included ex works approaching late July, up by RMB500/t (USD74.74/t) from early this month. While prices for silicomanganese 60/14 continued to stabilize at RMB5,100-5,300/t (USD762-792/t) D/P VAT excluded ex works due to weak downstream demand.

During early-to-mid July, prices for manganese ore stopped declining to rebound as end-demand began to rise, and at the same time, quotations for long-term orders were firm at high levels. With a continuing uptrend, prices for manganese ore went up by nearly RMB7/dmtu (USD1.05/dmtu) around the end of the month.Asian Metal Copyright Besides, affected by the strong demand for silicomanganese from steel mills and higher profit of rebar, spot prices for silicomanganese were as high as RMB6,800-7,000t USD1,016-1,046t DP VAT included ex works approaching late July, up by RMB500t USD74.Asian Metal Copyright The current prices for Australian origin manganese ore remain at high levels of USD6.5/mtu CIF China.Asian Metal Copyright While prices for silicomanganese 6014 continued to stabilize at RMB5,100-5,300t USD762-792t DP VAT excluded ex works due to weak downstream demand.Asian Metal Copyright It is expected that the ports will see high-priced manganese ore in the coming 1-2 months, so prices for manganese ore are likely to keep firm in the near future.

.Asian Metal CopyrightWith steel mills ending bidding during early July, the demand for manganese alloys from downstream market improved significantlyAsian Metal Copyright