[SMM Daily Review] Chrome Ore Prices Continue to Fall, Awaiting Steel Tender Release

On June 18, 2025, the ex-factory price of high-carbon ferrochrome in Inner Mongolia was 7,700-7,900 yuan/mt (50% metal content); in Sichuan and north-west China, the ex-factory price of high-carbon ferrochrome was 7,800-7,900 yuan/mt (50% metal content), flat MoM. The ferrochrome market remained relatively stable during the day, with the market being cautious and waiting for the steel tenders to be released, resulting in limited actual transactions. With the continuous decline in chrome ore prices and the sluggish downstream stainless steel consumption, ferrochrome producers are bearish about the future, finding it difficult to refuse to budge on prices, and there is still downside room for further price drops. It is expected that the ferrochrome market will mainly be in the doldrums in the short term.

Raw material side, chrome ore prices continued to decrease, with a consecutive drop in futures prices leading to a decline in spot prices. On June 18, 2025, an overseas large mine quoted $265/mt for 40-42% South African fines, down $10 MoM from June 14. Over two weeks, chrome ore futures fell by $30, rapidly weakening support for the chrome ore spot market. Traders were mostly selling at reduced profits and lowering their quotes, and it is expected that there is still downside room for chrome ore prices. Tianjin Port quoted 55-56 yuan/mtu for 40-42% South African fines; 56-57 yuan/mtu for 48-50% Zimbabwean chromite concentrate, down 1 yuan/mtu WoW. As the steel tender approaches, the market remains cautiously watching, with a generally pessimistic outlook. Coupled with the weakening of the downstream and ferrochrome market, the demand for chrome ore purchases is limited, mainly involving small spot orders for restocking, with limited actual transactions. In the short term, the chrome ore market is expected to mainly be in the doldrums.