Ferrotungsten continues to move up?
2007-09-13 15:11:02 【Print】
BEIJING (Asian Metal) 13 Sep 07 – After Chinese ferrotungsten export price reached USD34.0/kg FOB ten days ago, some sources believe the market will keep stable in the following two weeks. But major Chinese exporters anticipated a further rebound would appear in the near future, as the price of tungsten concentrate remains on the rise in China and deals have been concluded at higher prices in domestic market.
Market sources reported to Asian Metal that there were deals at RMB168,000-170,000/t (USD31.9-32.3/kg) for ferrotungsten 70% W in China, up from RMB163,000-165,000/t (USD30.9-31.3/kg) previously.
As prices of tungsten concentrate 65% WO3 rose to RMB98,000-100,000/t (USD200-204/mtu) from RMB94,000-96,000/t (USD192-196/mtu) in recent two weeks, ferrotungsten market was pushed up.
“Ferrotungsten price rose to RMB170,000-172,000/t [USD32.3-32.6/kg] 70% W this week,” said an official from a leading tungsten corporation in Jiangxi, revealing that they just resumed ferrotungsten production last week, with an output of 300 tons per month, compared with a capacity of 500 tons.
As for the export market, the source said the western consumers had accepted the price of USD34.0/kg FOB, the base level, and they would accept higher prices despite that the market remained flat.
“Generally, the export price is still lower than the price in domestic market. Therefore, we would raise the export price gradually,” said the source, adding that the corporation usually exports 200 tons of ferrotungsten each month.
A trader in North China confirmed that the ferrotungsten market became active in recent week, and the export price rose to USD34.0/kg FOB.
“As prices for both tungsten concentrate and ferrotungsten are rising in domestic market, the export price of ferrotungsten will rise further,” said the source. “I understand that most consumers are reluctant to accept a continuously increasing price, but we have to increase the price due to the markup in domestic market.”
Market sources reported to Asian Metal that there were deals at RMB168,000-170,000/t (USD31.9-32.3/kg) for ferrotungsten 70% W in China, up from RMB163,000-165,000/t (USD30.9-31.3/kg) previously.
As prices of tungsten concentrate 65% WO3 rose to RMB98,000-100,000/t (USD200-204/mtu) from RMB94,000-96,000/t (USD192-196/mtu) in recent two weeks, ferrotungsten market was pushed up.
“Ferrotungsten price rose to RMB170,000-172,000/t [USD32.3-32.6/kg] 70% W this week,” said an official from a leading tungsten corporation in Jiangxi, revealing that they just resumed ferrotungsten production last week, with an output of 300 tons per month, compared with a capacity of 500 tons.
As for the export market, the source said the western consumers had accepted the price of USD34.0/kg FOB, the base level, and they would accept higher prices despite that the market remained flat.
“Generally, the export price is still lower than the price in domestic market. Therefore, we would raise the export price gradually,” said the source, adding that the corporation usually exports 200 tons of ferrotungsten each month.
A trader in North China confirmed that the ferrotungsten market became active in recent week, and the export price rose to USD34.0/kg FOB.
“As prices for both tungsten concentrate and ferrotungsten are rising in domestic market, the export price of ferrotungsten will rise further,” said the source. “I understand that most consumers are reluctant to accept a continuously increasing price, but we have to increase the price due to the markup in domestic market.”
