- Stable costs and demand underpin price strength
- Rising steel demand boosts price sentiment
Chinese silico manganese prices (Mn 65%, Si 17%) remained largely stable with slight rise by RMB 40/t ($6/t) w-o-w to RMB 5,900-6,200/t ($854-897/t) exw, inclusive of taxes, on 20 March 2026.
The silico manganese market remained strong, supported by rising costs and improving steel demand. Positive sentiment persists, with prices holding firm, while short-term trends point to high-level fluctuations and gradual fundamental recovery.
Market updates
Strong cost support keeps market elevated:
The silico manganese raw material market remains firm, with strong cost support and no visible signs of easing. Manganese ore prices at ports were stable. Coke prices have stabilized and slightly rebounded, while persistently high electricity costs in key production regions continue to exert pressure. Producers remain in a loss-making position, resulting in a clear reluctance to sell at lower prices.
Market gains on rising steel demand:
Downstream demand from steel mills is steadily improving, with recruitment tenders lifting overall market sentiment. Following a sharp surge in the May’26 futures contract, prices remain elevated, supporting higher spot quotations, as in northern regions prices climbs to RMB 6,000/t–6100/t ($868/t-$883/t).
The second round of HBIS bidding has concluded at increased levels, prompting East China and Central-South mills to follow procurement activity. Rising molten iron output reinforces expectations for peak seasonal demand. However, alloy inventories remain moderately high, leading mills to adopt cautious, need-based purchasing without aggressive restocking.
Outlook
The short-term silico manganese market is expected to remain firm with moderate fluctuations, supported by stable costs and steady demand, while overall sentiment and inventory dynamics will continue influencing price movements.
(With inputs from CBC)
Leave a Reply