China: Imported Manganese Ore Prices Fell in Bearish Market

The seaborne prices of Manganese ore in India and China fell due to softer Silico Manganese and overall weakness in the Steel market restricting demand for Silico Manganese and Manganese Ore. South African miners have cut their offer prices to conclude deals amidst declining market. The inventory is high in China and is expected to get higher as the miners are worried that if the demand in the other countries sinks due to COvid-19, more ore will be shipped to China. The overall market sentiment seems pessimistic as the coronavirus has spread in the western countries quite fast and this is leading to the global economic slowdown. Although the situation in China is getting better, the situation in western countries is poor.

Meanwhile, there is no support to the Manganese ore prices amidst falling South African Rand against US Dollars and Hebei Steel lowering down the Silico Manganese prices for March deliveries. Producers in China have an optimistic attitude that the economy of China may become stable again soon, as the epidemic issue is much better controlled now. However, China cannot only depend on the internal stimulus policies and therefore will be concerned over the coming weeks.

Future Outlook
Market participants believe that there are tough times ahead, as the export market is dropping with the spread of corona. Due to this major slowdown in the global economy prices are bound to fall further. Producers hold a pessimistic approach amidst bearish sentiments.