China's silico manganese prices remain flat amid sustained limited demand

• Mn ore supply consistent despite subdued alloys demand
  
  
• ZCE silico manganese futures inch up $ 77/t w-o-w
  
  

CBC: Chinese silico manganese (Mn: 65%, Si: 17%) prices remained unchanged w-o-w at RMB 6,030-6,430/t ($822-$877/t) exw, including taxes. This week, the silico manganese market experienced a period of stagnation with prices remaining relatively unchanged. Recent trading activity has been characterised by limited quotations from silico manganese factories, as market participants closely monitor upstream and downstream trends, particularly steel mills' bidding activity.

Stable raw material supply: Manganese ore production remained steady, with no major disruptions anticipated. On the raw material front, manganese ore production has been stable, with no significant fluctuations anticipated in the short term. Transaction volumes for manganese ore have been moderate. Demand for silico manganese has remained relatively subdued. While the approaching Spring Festival holiday is typically associated with increased demand for alloys, logistics constraints are expected to dampen this effect.

Weak steel mill demand dulls silico manganese market: Factory quotations have been scarce, with market participants closely observing market trends. The current spot market price for silico manganese remains weak amidst a broader downturn in the ferro alloy market. Demand from downstream steel mills has been generally tepid, falling short of initial expectations. As the holiday approaches, the market will closely observe alloy demand and pricing trends from steel mills.

ZCE prices inch up: Silico manganese futures on China's Zhengzhou Commodity Exchange (ZCE) for May 2025 delivery saw a slight increase of RMB 400/t ($77/t) to RMB 6,740/t ($920/t) on 20 January against RMB 6,340/t ($828/t) on 13 January 2025.

Outlook

In the short term, the price of silico manganese is likely to undergo adjustments as the market digests existing manganese ore inventories. Steel mills' bidding activity will continue to play a crucial role in shaping market dynamics.