- Electricity, semi-coke prices remain stable
- Mills purchase material mainly for immediate needs
Ferro silicon (Si:75%) prices in China remained stable w-o-w at RMB 6,050-6,240/t ($900-929/t) exw, inclusive of taxes and acceptance. Meanwhile, Si:72% prices increased by RMB 50/t ($7/t) w-o-w to RMB 5,650-5,800/t ($841-863/t) exw.
China’s ferro silicon market remained largely stable this week. Stable electricity and semi-coke prices provided cost support, while supply also remained steady as there were no major changes in production or maintenance schedules of smelters. However, weak steel mill demand and limited restocking limited trading activity.
Market updates
Stable costs support prices: Electricity and semi-coke prices in major producing areas remained stable, providing some support to production costs. With no major changes in maintenance schedules, supply also remained broadly steady, keeping the market in temporary balance.
Weak steel buying limits trading: Steel mills continued to purchase mainly for immediate needs, with limited interest in large-scale restocking. Traders remained cautious and largely stayed on the sidelines, while the lack of strong demand kept spot trading subdued.
Outlook
Ferro silicon prices are likely to remain largely firm in the near term. Stable production costs should support prices, while weak steel demand may limit gains. Changes in semi-coke and electricity prices, production resumptions and steel mill tenders will be key factors to watch.
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