China's Jan-Feb manganese ore imports remain stable y-o-y

China's imports of manganese ore over January-February remained stable on year, with the total volume reaching 5.14 million tonnes (mnt), higher by only 511 tonnes (t) compared with the same period last year, according to the latest data from the General Administration of Customs (GACC). For February alone, China imported 2.3 mnt of manganese ore, falling by 539,607 t or 19% from that for the previous month, the GACC data showed.

Manganese ore delivered from South Africa to China decreased significantly in February, leading to the lower import volume last month, Mysteel Global learned.

In parallel, domestic consumption of manganese ore shrank in February, as many silico manganese smelters conducted maintenance or slowed their smelting pace given the sharper losses they suffered on silico manganese sales with the persistent fall in prices of this ferro alloy.

Mysteel's monthly survey showed that daily silico manganese output among the 187 Chinese smelters under its regular tracking averaged 29,040 t/day in February, down by 1,032 t/d or 3.4% from January. The sampled smelters host 99% of China's silico manganese smelting capacity.

China's silico manganese prices weakened steadily last month with the negative sentiment in the domestic market and lower bidding prices tabled by steelmakers. As of 29 February, the national price of 6517 silico manganese under Mysteel's assessment was Yuan 6,100/t ($847/t) including the 13% VAT, lower by another Yuan 75/t from the end of January.

However, domestic prices of manganese ore stayed firm in February thanks to support from domestic traders' higher import costs and the relatively low stocks of manganese ore at China's major ports, Mysteel Global noted.

For example, the price of South Africa-origin 36.5% grade manganese ore at North China's Tianjin port was assessed by Mysteel at Yuan 34.3/dmtu including the 13% VAT by end February, gaining by Yuan 1.5/dmtu on month.

As of 23 February, total manganese ore inventories at China's major ports registered 5.22 mnt, much lower than the 6.18 mnt recorded one year earlier, though the total was 333,000 t higher compared with one month before, according to Mysteel's weekly survey.

Note: This article has been written in accordance with an article exchange agreement between BigMint and Mysteel Global.