[Ferro-Alloys.com]In recent period, mainstream price of silicon manganese 6517 quoted at RMB5,500-5,700/mt in north and RMB5,700-5,900/mt in south, while in Ningxia and Gansu, it was RMB5,400-5,500/mt. High carbon ferromanganese 65 priced at RMB4,900-5,100/mt while RMB8,600-8,700/mt for medium carbon ferromanganese 78C1.5. As for low carbon, ferromanganese 80C0.7 lingered about RMB 8,900-9,100/mt.
Near the end of March, all big steel enterprises called for alloy bids. It is reported that Shagang Group planed to purchase 12,000 dons SiMn in April, and Hebei Iron & Steel Group also published bids. Some officials expected the silicon manganese bidding price still followed by a drop.
Stall demand growth and downtrend of production cost of alloys ware in fact as two main factors responsible for worse performance or manganese alloys despite low operation rates.
There is no doubt that steel output growth in China already put into stagnation, under such affect, demand for ferroalloys also showed sluggish. Chinese insiders pointed out that prices of manganese alloy would not stop dropping if large scale factories in Hebei areas failed to cut production.
In conclusion, because of current industry situation, manganese alloy market was too optimistic.
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