[SMM Chrome Daily Review] Watching Steel Mill Tender Prices, Market in the Doldrums

On June 22, 2026, retail quotations for high-carbon ferrochrome remained stable, with Inner Mongolia high-carbon ferrochrome at 8,150-8,300 yuan/mt (50% metal content).

At the start of the week, the ferrochrome market was in the doldrums, with retail quotations showing no significant fluctuations. However, overall trading activity was sluggish, with most market participants holding a wait-and-see attitude. The downstream stainless steel market entered the traditional off-season for consumption, with end-use demand staying weak. Steel mills kept procurement of raw materials cautious, with inquiries and actual transactions both lackluster, providing limited support to ferrochrome prices. Supply side, ferrochrome producers maintained normal operations with production fluctuating at highs, leading to a slight market surplus. In May, China’s imports of high-carbon ferrochrome edged down 9.7% MoM to 131,000 mt. Cost side, chrome ore prices continued to decline, easing the smelting cost of ferrochrome. However, producers still retained certain profit margins and were mostly awaiting guidance from the next round of steel mill tenders. The ferrochrome market is expected to remain in the doldrums in the near term.

On the raw material side, as of June 22, 2026, spot quotations at Tianjin port for 40-42% South African fines, 40-42% Turkish lumpy ore, and 48-50% Zimbabwean fines were each down 0.25 yuan/mtu from the previous trading day. For CIF futures, the latest quotation for 40-42% South African fines was $280/mt.

The chrome ore market continued a weakening trend at the start of the week, with spot quotations edging down further. Port inventories remained high, and traders faced persistent sales pressure, but downstream ferrochrome producers had ample raw material inventories and mostly adopted a cautious stance. Procurement inquiries moved at a slow pace, and actual transactions were limited. In May, China’s total chrome ore imports reached 2.4732 million mt, up 6.24% MoM and up 30.2% YoY. For futures, offers from major mines outside China for 40-42% South African fines were lowered to $280/mt, yet purchase willingness remained low, with small and medium-sized miners loosening their quotations. Overall, the chrome ore market lacked positive drivers and is expected to remain in the doldrums in the near term.