Spot prices of high-carbon ferro chrome slipped this week amid weak Chinese demand, despite output cuts undertaken by some producers.
SteelMint assessed the spot price of 58-60% high-carbon ferro chrome at 55 cents/lb CIF China, down from 56 cents/lb last week.
Bids were 1-2 cents/lb lower, also reflective of major Chinese stainless steelmakers’ cut of March purchase prices by RMB 100/MT (1.4 cents/lb) or more.
“The falling steel mill bid price is a sign that stainless steel supply/demand balance has not improved,” said a producer. Spot buying interest emerged for 1,000-2,000 MT lots for April delivery to China, but no deals were concluded because of the gap in price ideas.
Sources at Chinese trading houses and overseas producers said China’s import interest remained lackluster, as most mills were buying locally produced ferro chrome, which was 2-3 cents/lb cheaper than imports.
48-52% charge chrome was assessed at 57-58 cents/lb CIF China, flat from last week as the South African currency stayed strong against the US dollar, discouraging trades.
Japan’s spot import price for 60-65%- grade high-carbon ferrochrome fell to 62-64 cents/lb CIF Japan, from 64-65 cents/ lb CIF last week. There was a deal reported for around 500 MT at 62 cents/lb CIF Japan, as well as offers at 63-64 cents/lb CIF Japan.
Domestic Ferro Chrome Market Dull
The ferro chrome market was in a deadlock, as buyers and sellers have been unable to budge on their price levels.
SteelMint assessed ferro chrome steady at INR 57,000/MT (Ex-Odisha). Prices in the domestic market were unchanged as buyer’s absence constrained trading activity.
Market participants reported there are few inquires so far this week as customers do not seem to be in any hurry to buy, with demand inadequate and prices showing no signs of recovering.
Exchange Rate: USD 1= INR 67.3
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