Chinese silicon metal 7-8-3 producers are maintaining firm prices due to low margins caused by inactive buying activities from downstream consumers. The mainstream price remains at RMB 12,500-12,800 per tonne ex-works cash, consistent with the beginning of the week. Industry insiders expect prices to remain stable in the coming week due to producers' resistance to price cuts.

Mainstream Chinese ferrosilicon 72%min 200-500mm prices are currently at 7,000-7,200 yuan/tonne ($955-993/tonne) ex-works cash, unchanged from yesterday, as most producers are waiting for ferrosilicon tender prices from the major steel mills and are willing to hold prices. 

China Ferro Silicon Market Active Trading.

Considering that downstream purchases are stabilizing, producers have strong willingness to hold prices due to tight inventory at present. Mainstream Chinese ferrosilicon 75%min 200-500mm prices remained at CNY7,700-7,900/mt ($1,062-1,090/mt) ex-works cash, unchanged from last Friday.

Mainstream 72%min 10-50mm ferrosilicon prices in China have remained at the existing 7,000-7,200 RMB/t ($966-994/t) ex-works, as consumers take a wait-and-see approach to the market. Considering that most consumers are still on the sidelines, market insiders are predicting that Chinese prices will remain stable over the next few days.

In the first quarter, the overall ferrosilicon market is affected by multiple factors, and the overall supply of ferrosilicon spot was tight. Factory inventory resources faced a situation of no stock available for sale. In this situation, this article analyzes the recent ferrosilicon market situation.

Stimulated by tightening spot supply, the current mainstream price of Chinese ferrosilicon 75%min 200-500mm has increased by RMB 100/mt ($14/mt) to RMB 6,800-7,000/mt ($938-965/mt) ex-works spot from mid-week.

Black futures prices started a collective rebound trend after hitting bottom on March 18, ending the unilateral downward trend after the Spring Festival. The main reason is that, on the one hand, short funds in the main rebar futures contracts voluntarily left the market, and the market price stabil

In the first quarter of 2024, ferroalloy prices will mainly fluctuate downward, but the decline will slow down. As of March 22, the weighted index of ferrosilicon futures fell by 3.15% to 6,515 yuan/ton, and the weighted index of manganese silicon futures fell by 2.84% to 6,202 yuan/ton.

There are more opportunities being created for the Chinese ferro-alloys industry on the back of China’s focus on sustainable development goals and the rising availability of competitively-priced green electricity.