China's silico manganese market dips down amid weak demand

The price of silico manganese in China dropped by RMB 50/t ($7/t), hovered at around RMB 6740/t to 6840/t ($923-$937/t) including tax, with an average price of RMB 6790/t ($930/t). Low demand impacted the Chinese silico manganese prices going down this week. The steel manufacturers remained cautious while making the purchase, whereas silico manganese traders were muddled in quoting high prices as they were hesitant in shipping at lower prices.

However, market for manganese ore remained stable. There was some trouble with the railway track between Gabon's ports of Ovindo and Franceville which was repaired and operations were restored. But there might be delayed shipments from Gabon causing lowered ore availability which may result in keeping the prices up for manganese ore.

Since, the demand side remained weak for Chinese silico manganese this week, the upcoming steel recruitments would decide the trajectory for further fluctuations in the silico manganese demand and prices.

Outlook

Some factories don't have enough supply, and they don't plan on making more for now which means that prices might stay stable in the near future while traders and manufacturers are in wait and watch approach.

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