Chinese ferro silicon prices remain uniform on dull demand

Chinese ferro silicon prices remained steady as the demand was subdued in the market. Ferro silicon with 72% silicon was in the range of RMB 6,610 - 6,810/t ($928-$956/t), while ferro silicon with 75% silicon was at RMB 7,010 - 7,210/t ($984-$1,012/t). All prices are ex-works, including tax.

The price of ferro silicon were consistent as the big steel companies have set the bid price, and smaller ones are following their lead. This means there was limited room for the price to go up or down.

Traders only bought what they need and the overall market functioned pale. As the market enthusiasm was subdued, traders attempted to liquidate their holdings to generate a steady cash flow. Because of this, the actual price of ferro silicon remained unchanged and expected to roll down. The market demand was weak, and the market situation anticipated to remain muted.

Outlook

Looking ahead, things are looking restrained as the off-season continues, the demand will keep getting weaker. Some traders in the industry are already in a shut down mode.

So, the prices of ferro silicon might go down with minor fluctuations in the near future.

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