European market participants pessimistic on manganese

BEIJING (Asian Metal) 3 Apr 06 – Stable at around USD1,150-1,180/t CIF Rotterdam, manganese market shows no signs of rebound, and some participants lament for the low prices and huge production capacity in China.

A European consumer told Asian Metal that the offers he received from China is at around USD1,160-1,180/t CIF Rotterdam, and few offers were as low as USD1,150/t CIF Rotterdam. However, with plenty stocks on hand, the consumer decided not to make any purchase at this moment.Asian Metal CopyrightBEIJING Asian Metal 3 Apr 06 – Stable at around USD1,150-1,180t CIF Rotterdam, manganese market shows no signs of rebound, and some participants lament for the low prices and huge production capacity in China.Asian Metal Copyright

The source is worried about the supply from China. “The production capacity is around one million tonnes per year, but world consumption is only half of it.Asian Metal Copyright” The manganese offers he received from China is at USD1,150-1,180t CIF Rotterdam or USD1,200t in warehouse Rotterdam for prompt delivery.Asian Metal Copyright Where are the smelters going to sell the other half-million tonnes of manganese flakes to?” According to him, the power tariff is always cheaper during summer, and when the weather gets warmer everyday, the cost of manganese is more likely to get lower.Asian Metal Copyright Where are the smelters going to sell the other half-million tonnes of manganese flakes to?” According to him, the power tariff is always cheaper during summer, and when the weather gets warmer everyday, the cost of manganese is more likely to get lower.Asian Metal Copyright

A European trader agreed on the serious market situation. “Price of manganese flake had been hovering at low level for very long, and probably won’t recover in the next quarter.” The manganese offers he received from China is at USD1,150-1,180/t CIF Rotterdam or USD1,200/t in warehouse Rotterdam for prompt delivery. However, the trader reported that a major consumer booked a batch of manganese flake for USD1,175/t in warehouse Rotterdam delivers in May.Asian Metal Copyright However, the trader reported that a major consumer booked a batch of manganese flake for USD1,175t in warehouse Rotterdam delivers in May.Asian Metal Copyright “Price will continue to drop in April.Asian Metal CopyrightThe source is worried about the supply from China.Asian Metal Copyright”

The trader also complained about the high production capacity of manganese metals in China, and he believes if there is no quantity control in China, the market would remain sluggish for a very long time.