- Reduction prompted by weak demand in sluggish stainless steel market
- Other Japanese stainless steel producers expected to revise prices downward
Japan’s Nippon Steel has lowered the procurement price of ferro chrome for the fourth quarter of this year (October-December) by 2.4% compared to the previous quarter. With this reduction, the contract price of ferro chrome has fallen for two consecutive quarters.
Nippon Steel agreed with multiple ferro chrome producers in South Africa by 7 October on a price of 160 cents ($1.60) per pound of net powder for high-carbon ferro chrome shipments from October to December.
This is 4 cents, or 2.4%, lower than the contract price of 164 cents per pound for the previous quarter (July-September).
It is reported that this price reduction was influenced by weak demand for ferro chrome resulting from sluggish stainless steel production in Europe and China.
As Nippon Steel reaches an agreement on fourth-quarter contract prices with South African producers, other Japanese stainless steel manufacturers are expected to follow suit with similar price adjustments.
Note: This article has been written in accordance with a content exchange agreement between SteelDaily and BigMint.
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