The spot trade of some ferroalloys imported into South Korea picked up in March due to increases in Korean steel exports thanks to the weaker Korean currency.
POSCO issued a buy tender for 40 tonnes of ferromolybdenum this week, following another 40 tonne tender last month. One or two steelmakers are expected to call for ferromoly buy tenders later in the month, possibly generating demand for more than 100 tonnes of ferromoly combined.
South Korean ferromoly producers were seeking to import molybdenum oxide feedstock from Japanese and European traders, as the local molybdenum oxide producer Kwangyang Ferroalloys closed its plant for maintenance in January.
Korean buyers are said to be seeking molybdenum oxide at prices that could break even with ferromoly selling at less than USD 20.50 per kilogram, duty and delivery costs unpaid. The pick up in the Korean ferroalloy demand is underscored partly by increased steel exports, fuelled by the weaker Won.
According to the recent Korean customs data, South Korea's exports of hot rolled flat steel products to China more than doubled to 118,746 tonnes in February 2009. This was three times more than the 38,269 tonnes exported in February 2008.
Source: Steel Guru
Showing posts with label ferromolybdenum. Show all posts
Showing posts with label ferromolybdenum. Show all posts
Friday, April 3, 2009
Monday, March 23, 2009
China's Special Ferroalloys Market Remains Sluggish
China's special ferroalloy market remains weak despite the fact that March is usually the traditional peak season for the steel market. Industry analysts forecast that the sluggish performance will continue in the short term and the price will fall further though at a slower rate than at present.
The price for FerroMoybdenum price fell to CNY 110,000 to 112,000 per tonne with some transactions price falls at below CNY 110,000 per tonne. Steelmakers' purchase prices are CNY 105,000 to 107,000 per tonne, down CNY 3,000 to 5,000 per tonne from the previous level.
The Prices for Vanadium-series alloys have also fallen. 50 FeV is now offered at CNY 103,000 to 108,000 per tonne with a spot price of CNY 102,000 to 107,000 per tonne down CNY 2,000 per tonne. Ferrotungsten (FeW) has slipped to CNY 118,000 to 120,000 per tonne with the lowest transaction price hitting CNY 105,000 per tonne a fall of CNY 3,000-5,000 within a week.
Traders and analysts believe the weak market attributed to the following factors:
1. Due to a fluctuating steel market, demand remains insufficient. Stock of V-contained high strength third-grade rebar has reached 250,000 tonnes in Shanghai. Stainless steel, which consumes large amounts of ferroalloys, has also witnessed a stagnant operation for a long time. The stainless steel price lost another CNY 500 to 600 per tonne this week. Besides, the high quality and special steel markets appear bleak owing to waning demand from downstream manufacturing industries. Steelmakers are mainly consuming their inventory at the moment and keep a cautious attitude towards special ferroalloy purchasing. Some plan to buy FeMn in mid- and late-March. Some end-users still hold a fence-sitting attitude and are not enthusiastic in purchasing.
2. Traders are not active in sales. As the whole ferroalloy market is weak, traders aren't confident in the future market and mainly hold a wait-and-see attitude. Some traders have been clearing out stocks in order to accelerate capital reflow.
3. Gloomy international markets are also affecting the domestic market. The steel sector has been severely impacted by the global financial crisis and steelmakers have all reduced their steel output, leading to a shrinking demand for ferroalloys. 75% FeW price has slid to USD 27 to USD 28 per kilogram from USD 29.5 to USD 31 per kilogram within one week. Vanadium pentoxide is quoted at USD 6 per pound to 6.5 per pound; FeV at USD 22.5 to USD 23.5 per kilogram, down by USD 1 per kilogram. A sluggish international ferroalloy market has changed China's ferroalloy imports and exports. Jan exports hit 89,800 tons while imports registered 100,700 tons. China exported only 6 tonnes of FeMn in January collapsing from the 1,068 tons last January. FeMo exports started to shrink last November. Figures recorded 99.5 tonnes in November 229.6 tonnes in December and almost zero in January.
Insiders point out that given waning domestic demand, interrupted exports and increasing imports, the domestic market faces growing pressure. The special ferroalloy market can barely shake off its stagnant performance in the near future, but there is limited space for further price falls as many ferroalloy producers have cut their output. Many FeW producers have halted operations. Domestic W concentrate miners have suspended production as the market price comes near to the cost line and imported resources flood in. Some ferroalloy producers keep a wait-and-see attitude after the news that preferential electricity prices have been removed and electricity prices will rise further.
As a result, less ferroalloy products will enter the home market. If the domestic steel market revives in late March or in April steelmakers will release steel capacity, resulting in a swelling demand for special ferroalloys.
Source: Steel Guru
The price for FerroMoybdenum price fell to CNY 110,000 to 112,000 per tonne with some transactions price falls at below CNY 110,000 per tonne. Steelmakers' purchase prices are CNY 105,000 to 107,000 per tonne, down CNY 3,000 to 5,000 per tonne from the previous level.
The Prices for Vanadium-series alloys have also fallen. 50 FeV is now offered at CNY 103,000 to 108,000 per tonne with a spot price of CNY 102,000 to 107,000 per tonne down CNY 2,000 per tonne. Ferrotungsten (FeW) has slipped to CNY 118,000 to 120,000 per tonne with the lowest transaction price hitting CNY 105,000 per tonne a fall of CNY 3,000-5,000 within a week.
Traders and analysts believe the weak market attributed to the following factors:
1. Due to a fluctuating steel market, demand remains insufficient. Stock of V-contained high strength third-grade rebar has reached 250,000 tonnes in Shanghai. Stainless steel, which consumes large amounts of ferroalloys, has also witnessed a stagnant operation for a long time. The stainless steel price lost another CNY 500 to 600 per tonne this week. Besides, the high quality and special steel markets appear bleak owing to waning demand from downstream manufacturing industries. Steelmakers are mainly consuming their inventory at the moment and keep a cautious attitude towards special ferroalloy purchasing. Some plan to buy FeMn in mid- and late-March. Some end-users still hold a fence-sitting attitude and are not enthusiastic in purchasing.
2. Traders are not active in sales. As the whole ferroalloy market is weak, traders aren't confident in the future market and mainly hold a wait-and-see attitude. Some traders have been clearing out stocks in order to accelerate capital reflow.
3. Gloomy international markets are also affecting the domestic market. The steel sector has been severely impacted by the global financial crisis and steelmakers have all reduced their steel output, leading to a shrinking demand for ferroalloys. 75% FeW price has slid to USD 27 to USD 28 per kilogram from USD 29.5 to USD 31 per kilogram within one week. Vanadium pentoxide is quoted at USD 6 per pound to 6.5 per pound; FeV at USD 22.5 to USD 23.5 per kilogram, down by USD 1 per kilogram. A sluggish international ferroalloy market has changed China's ferroalloy imports and exports. Jan exports hit 89,800 tons while imports registered 100,700 tons. China exported only 6 tonnes of FeMn in January collapsing from the 1,068 tons last January. FeMo exports started to shrink last November. Figures recorded 99.5 tonnes in November 229.6 tonnes in December and almost zero in January.
Insiders point out that given waning domestic demand, interrupted exports and increasing imports, the domestic market faces growing pressure. The special ferroalloy market can barely shake off its stagnant performance in the near future, but there is limited space for further price falls as many ferroalloy producers have cut their output. Many FeW producers have halted operations. Domestic W concentrate miners have suspended production as the market price comes near to the cost line and imported resources flood in. Some ferroalloy producers keep a wait-and-see attitude after the news that preferential electricity prices have been removed and electricity prices will rise further.
As a result, less ferroalloy products will enter the home market. If the domestic steel market revives in late March or in April steelmakers will release steel capacity, resulting in a swelling demand for special ferroalloys.
Source: Steel Guru
Sunday, March 1, 2009
Iran Commences Ferroalloy Production
The managing director of the Iranian Mineral Production and Supplying Company (IMPASCO) said on Saturday that domestic experts have now acquired the know-how to produce various kinds of ferroalloys and that Iran will soon become a Middle Eastern ferroalloy production hub.
According to IRINN, Ardeshir Saad-Mohammadi added that Iran is now producing ferromolybdenum, ferrosilicon, ferrochromium, and ferrotitanium.
“Once we acquire the technology for producing ferrovanadium, Iran will become the hub of producing ferroalloys in the Middle East,” he noted.
Source: Tehran Times
According to IRINN, Ardeshir Saad-Mohammadi added that Iran is now producing ferromolybdenum, ferrosilicon, ferrochromium, and ferrotitanium.
“Once we acquire the technology for producing ferrovanadium, Iran will become the hub of producing ferroalloys in the Middle East,” he noted.
Source: Tehran Times
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