- Cautious trading, weaker ore costs limit price support
- Lower steel mill tenders weigh on ferro chrome demand
China’s ferro chrome prices showed mixed trends during the assessment week ended 26 August 2026. High-carbon ferro chrome (Cr:50%, C:6-8%) remained unchanged w-o-w at RMB 7,840-8,250/t ($1,167-1,228/t). Medium-carbon ferro chrome (Cr:60%, C:1%) edged down by RMB 150/t ($22/t) w-o-w to RMB 12,700-13,000/t ($1,890-1,934/t), while low-carbon ferro chrome (Cr: 60%, C:0.1%) rose by RMB 1,000/t ($149/t) to RMB 14,200-14,500/t ($2,113-2,158/t).
The market remained under pressure as ample supply, weak downstream buying, and softer chrome ore costs weighed on sentiment. Lower August and September tender prices from major stainless steel mills pressured high-carbon ferro chrome, while higher low-carbon tender prices provided some support. Spot transactions remained limited amid cautious buying and expectations of production cuts.
Market updates
Weaker ore demand erodes cost support: Chrome ore prices remained weak as port inventories declined slower than expected and overseas futures lacked momentum. South African and Turkish suppliers resisted major cuts, but shrinking ferro chrome procurement continued to weaken raw material cost support.
Lower steel tenders weigh on demand: Stainless steel mills remained cautious in procurement. Taiyuan Iron & Steel and Tsingshan Iron and Steel lowered August high-carbon ferro chrome tenders by RMB 200/50 base tons and September prices by a further RMB 100/50 base tons. Meanwhile, Jiangsu Yonggang’s low-carbon ferro chrome tender rose by RMB 210/60 base tons, offering some support to the segment.
Outlook
China’s ferro chrome prices are expected to remain weak in the short term. Production cuts may ease oversupply, but weak demand will limit upside. August steel mill tenders and operating rates in key production areas will remain key market signals.
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