China: Ferro silicon prices remain invariable on supply-demand stability

The prices of ferro silicon in China stayed unchanged because of the smooth functioning of the market and equilibrated supply and demand. Ferro silicon with 72% silicon was in the range of RMB 6,610 to 6,810/t ($925-$953/t), while ferro silicon with 75% silicon maintained prices at around RMB 7,010 to 7,210/t ($990-$1,018/t). All prices are ex-works, including tax.

The spot price of ferro silicon ran smoothly wherein some steel mills have purchased more material to add up to their stocks, so the supply and demand remain moderate. However, still an eye to be kept on how things go at the end of the year.

Most factories focused on making products for their regular customers as there were a few new orders. On the other hand, the demand for steel weakened because of the off-season for using steel, and there has been snowfall in many areas, which has slowed down construction projects. This means that the demand for steel went down, and people were not buying as much as before.

Outlook

Steel mills that use ferro silicon are still in a dilemma on the prices they want to pay and they still need a lot of furnace materials. In the short term, it looks like the ferro silicon market will continue to be stable.

Note: This article has been written in accordance with an agreement between CBC and SteelMint.