Chinese silico manganese prices remain stable amid adverse market sentiments

Silico manganese prices in China stayed firm this week as the market followed a cautious approach after witnessing dull conditions. Domestic silico manganese (Mn: 65%) acceptance offers were at RMB 6,360-6,460/t ($892-$906/t). All prices were exw, including tax.

The silico manganese market in China was lacklustre this week with an average trading atmosphere. The traders were careful in their operations as they witnessed a downtrend in the market. The supply of silico manganese also remained below the bar with tedious delivery and some factories have even reduced their production.

Meanwhile, the market for manganese ore performed weak. However, there was some repair work done on the railway track between Gabon's ports, but there will still be a period of time before the ore arrives, and the inventory at the ports will keep going down. So, the prices of the ore might go up again.

The futures market also toned down, and traders in the industry were careful while making trade decisions. However, as the steel industry starts to pick up, there might be more demand for silico manganese.

Suppliers felt positive about the future. But for now, an eye to be kept on the low-price transactions and changes in supply and demand.

Outlook

Looking up to the cautious approach by the overall market, it is anticipated that the silico manganese prices will stay stable in the near future.

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