Chinese silico manganese prices inch down post holidays

The prices of Silico manganese in China diminished by RMB 50/t ($7/t) as after the holidays the market remained fluctuating. The prices were at around RMB 6310/t to 6410/t ($881/t-$896/t). All prices were ex-works and inclusive of taxes.

Silico manganese market showed a declining graph this week as post holidays, not much the steel mills in the northern region took a little extra time with their purchases. Traders were careful, and the supply in the market remained subdued. This affected the trading activity and dragged down the prices.

However, the market for manganese ore recovered recently. This was because of some transportation issues and higher costs for manufacturers. Also, the railway track between the Gabon ports of Ovindo and Franceville has been fixed, so things are getting back to normal. This means that the inventory at the ports will go down, and the prices of the ore might go up.

Going ahead, the futures market looked pale, as traders in the industry were cautious. But this would not go on very long, as the steel recruitment continues, there will be more demand for silico manganese. Suppliers felt positive about the future of the market. An eye to be kept on the prices and the supply and demand situation is suggested

Outlook

The cost side of things is still supporting the market, but some regions faced challenges. Overall, most silico manganese companies were unwilling to change their prices. So, it looks like the market will stay the same with minor changes in the near future.

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