December Chrome Ore Imports Reach 1.9987 Million mt, Hitting a New Historical High [SMM Analysis]

SMM, January 23:

According to Chinese customs statistics, China's chrome ore imports in December 2024 reached 1.9987 million mt, up 279,500 mt MoM (16.26%) and up 2,500 mt YoY (0.13%). In December, China imported 1.6392 million mt of chrome ore from South Africa. From January to December 2024, China's total chrome ore imports amounted to 20.9391 million mt, up 2.6065 million mt YoY (14.22%).

According to SMM, despite recent turmoil and protests in Mozambique, a major port of departure for chrome ore, which have caused some disruption to land transportation, overseas miners have actively shipped goods to fulfill previous high-priced orders, driven by the rapid decline in chrome ore prices and to prevent downstream buyers from defaulting. As a result, chrome ore supply has not been materially affected. Chrome ore imports surged again, reaching a historical peak and approaching 2 million mt, while total chrome ore imports for 2024 also exceeded 20 million mt as expected. In both 2023 and 2024, chrome ore imports saw significant growth for two consecutive years, effectively ensuring the raw material supply needed for the substantial increase in domestic ferrochrome capacity. Currently, chrome ore prices have fallen to low levels, approaching mining costs. Domestic buying activity has recently picked up, and it is expected that further price declines will find some support.