Ferrochrome markets to keep softening
2005-07-12 16:03:31 【Print】
BEIJING (Asian Metal) 12 Jul 05 – Ferrochrome markets have kept softening since May, and the trend will continue in July, producers reported.
A Chongqing-based smelter's HC FeCr prices are around RMB6,650/t, selling a batch at RMB6,600/t. "The HC ferrochrome price has dropped by RMB150-200/t since the end of June," said the producer. "We can even accept RMB6,500/t for with advanced payment."
The producer believes the ferrochrome price will continue slide further in July.
With a batch chrome ore in stock for the next two months of production, the smelter produces about 8,000tpm of HC FeCr and usually sells to steel mills.
Meanwhile, with an output of 7,000tpm of FeCr, a Sichuan-based smelter still keeps its prices high at around RMB6,700-6,800/t for HC FeCr, selling a batch for RMB6,800/t this morning. The producer can also accept RMB6,500/t with advanced payment.
“The ferrochrome price won’t be able to rebound until September,” said the producer, “if the steel market remains sluggish.”
The smelter has purchased a batch of Indian-origin ferrochrome ore 50% for RMB2,300, and 3,500t of Brazilian-origin chrome ore 47% for RMB43/mtu.
Some chrome ore sellers quote USD170/t for Pakistani-origin chrome ore 43%, but the producer declined. "The price is too high," said the producer. "I think USD160/t is reasonable."
