Quiet Molybdenum market
2005-07-20 09:29:30 【Print】
BEIJING (Asian Metal) 20 Jul 05 - Chinese molybdenum producers still quote around USD80/kg for ferromolybdenum export, but foreign buyers cannot accept this price at all, producers reported.
A Liaoning-based producer quotes usd81/kg for ferromolybdenum, but has not made any deals since last week.
The producer will go to Beijing this afternoon to attend a meeting on which major ferromolybdenum producers will set a floor price for ferromolybdenum exports. "I think the price will be set around USD80/kg," said the producer.
The smelter now produces for contracts concluded early July.
Another Liaoning-based smelter now quotes USD79/kg for ferromolybdenum, but made no deal this week.
"Foreign buyers have no interest on our price," said the producer, "But we are not anxious to make new contracts, because we have a great deal of orders to fulfill now." The smelter concluded several contracts at the end of June.
With raw materials imported from foreign markets, the smelter produces about 200tpm of ferromolybdenum at present.
A Taiwan-based steel mill holds a batch of ferromolybdenum in stock for the next two months production. "Chinese ferromolybdenum prices are too high and keep dropping now," said the source. "We don't want to purchase now and will wait and watch in the coming months."
Meanwhile, a Shaanxi-based company did not deal with ferromolybdenum recently due to the sluggish market, but exports molybdenum oxide to foreign markets, with current prices around USD30/lb now.
