India: Ferro molybdenum prices surge to around 1-year high on raw material scarcity

• Logistical issues cause molybdenum oxide shortage
• Chinese prices climb up, LME tags hold steady w-o-w

Indian ferro molybdenum prices rose further by INR 30,000/t ($349/t) in comparison to the previous assessment on 2 July. Prices reached their highest levels since July last year amid a shortage of molybdenum oxide in the domestic market.

As per BigMint’s assessment on 9 July, ferro molybdenum prices in India were at INR 2,730,000/t ($31,803/t) exw. Deals for around 65 t were recorded by BigMint in this assessment window in the price bracket of INR 2,620,000-2,750,000/t ($30,521-32,036/t) exw.

Market recap (3-8 July 2025)

Limited molybdenum oxide supplies provide cost support: As per sources, due to some shipment issues, there is a shortage of around 350-400 t of molybdenum oxide for July. Compounding this shortage, restricted supplies from the Middle East due to geopolitical tensions added further pressure, as it has around a 15-20% share in the Indian raw material market.

Hence, offers from sellers climbed up, and deals were also concluded at those elevated levels. A prominent seller informed BigMint, “There is a severe shortage of molybdenum oxide in the market. Prices are skyrocketing and will go up further. Additionally, there is good demand globally as well.”

Chinese prices climb up, LME tags hold steady: Ferro molybdenum (Mo:60%) prices in China increased by RMB 16,000/t ($2,230/t) w-o-w to RMB 257,500/t ($35,893/t) exw-Inner Mongolia. The market remained strong due to tight supply and steady demand.

Demand from stainless and special steel sectors was stable, while new energy and military industries witnessed growth. Limited supply, cost pressures, and improving demand will likely support firm prices, with no major relief expected in the supply situation soon. Market sentiment and fundamentals remained favourable for continued strength.

In the US and Europe (Mo:70%), prices edged up by $0.4/kg w-o-w to $54/kg and $52/kg, respectively.

On the London Metal Exchange (LME) platform, prices were largely steady, inching up by $0.4/lb w-o-w to $22.22/lb on 8 July.

Outlook

Given the supply shortage of molybdenum oxide, prices are expected to rise further in the days ahead. However, buyers’ acceptance will determine the extent of the rise.