South Africa's August high-carbon ferrochrome exports reached 305,800 mt, with domestic oversupply causing ferrochrome prices to fluctuate downward [SMM Analysis]

According to South African customs statistics, in August 2024, South Africa's high-carbon ferrochrome export volume was 305,800 mt, down 5,900 mt MoM, a decrease of 1.9%; down 23,200 mt YoY, a decrease of 7.05%. In August, South Africa exported 115,000 mt of high-carbon ferrochrome to China, up 20,800 mt MoM, an increase of 22.04%; up 2,000 mt YoY, an increase of 1.74%.

According to SMM, in August, South Africa's high-carbon ferrochrome export volume remained high. On the domestic market side, despite the September-October peak season being lower-than-expected and stainless steel plants facing losses, resulting in a decline in production, the decrease was limited, and demand for ferrochrome remained strong. Therefore, the decline in August's high-carbon ferrochrome bidding prices was minimal. However, the oversupply of ferrochrome has become significant within the year, and stainless steel plants have ample raw material inventory, leading to a sharp decline in October's high-carbon ferrochrome bidding prices. It is expected that the attractiveness of the overseas market for ferrochrome will decrease in the future.