- Output rises, while mills purchases stay weak
- ZCE futures edge up by RMB 108/t ($15/t) w-o-w
CBC: Chinese ferro silicon prices remained largely stable over the week. This was despite higher production and weak steel mill procurement, which kept the market imbalanced. These, along with stable costs and cautious buying, also left the market without a clear direction.
Grade 72% silicon: Prices were down slightly by RMB 25/t ($4/t) w-o-w at RMB 5,300-5,500/t ($751-772/t) ex-factory, inclusive of taxes.
Grade 75% silicon: Prices remained unchanged w-o-w, at RMB 5,790-5,930/t ($813-833/t).
Market recap
End-user demand remains subdued: On the demand side, steel mills were cautious about procurement, providing only limited price support. Meanwhile, a higher enterprise operating rate lifted production, resulting in a more ample supply.
Although some steel mills had started bidding, market sentiment remained largely wait-and-watch, with limited transaction activity. Meanwhile, costs were relatively stable, offering little momentum for significant price fluctuations.
Overall, the supply-demand imbalance persisted, leaving the market without clear drivers for either an uptrend or a decline.
ZCE futures edge up: Ferro silicon futures on China’s Zhengzhou Commodity Exchange (ZCE) for November 2025 delivery edged up by RMB 108/t ($15/t) w-o-w to RMB 5,628/t ($790/t) on 10 September, compared to RMB 5,520/t ($775/t) on 3 September.
Outlook
The ferro silicon market will likely remain volatile in the near term, with oversupply and weak steel demand limiting upward gains.
Leave a Reply