Thursday, February 12, 2009

Chinese Silicon Metal Market Remains Sluggish

China's export market for silicon metal remains sluggish, according to market insiders, with only a few transactions.

A silicon metal trader from Liaoning province disclosed that they have rarely exported silicon in the past few months, but have sold 300 to 400 tonnes in the domestic market with an average price average of CNY 11,000 per tonne. As a result they have almost no inventory in hand.

"We have importers' inquiries all the time," he said, "but only a few of them finally place the orders and in a very small amount. They are not going to purchase the products in large amounts at the moment as enterprises are all hiking up their quotations after the festival.”

Another silicon metal trader from Guangdong province is only functioning as a silicon supplier for its parent company in Japan. "Currently, we still have 1,000 tonnes of inventories, and it is enough for 3 months, therefore, we are not going to purchase the product from the Chinese market in the near future." he said

The trader noted many silicon metal enterprises still haven't resumed production yet as the market continues to weaken.

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