EMM Producers Reluctant to Move Goods at Low Prices-Shanghai Metals Market

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EMM Producers Reluctant to Move Goods at Low Prices

SMM Insight 01:34:29PM Jul 15, 2010 Source:SMM

SHANGHAI, July 15 (SMM) -- Mainstream offers of EMM were between RMB 14,500-14,600/mt today. Producers' unwilling to move goods grew from increased trading volumes when prices fell to RMB 14,400/mt, and most EMM producers in Xiushan region were reluctant to move goods at prices below RMB 145,000/mt.

According to SMM survey, current operating rates at EMM producers in Guangxi province were 46%, and operating rates at producers in Hunan province were 34%. Some producers have already halted production for more than a month, leading to significant reduces of market supply.

According to SMM sources, some #200 stainless steel mills are still conducting unit maintenance or on production suspension, and demand for EMM continue waning. However, purchases from traders began to increase when EMM prices fell below RMB 145,000/mt. According to a trader in Ningbo, it is appropriate to make some replenishment at present. Although current market is sluggish, any room for EMM prices to fall further will be limited. 

To contact the writer on this report: jianghanmei@smm.cn

 

Copyright © SMM. All Rights Reserved

None of this material may be used for any commercial or public use in any forms or means, without the prior written consent of SMM. For reproduction issue, please contact us by email: service.en@smm.cn

 

EMM Producers Reluctant to Move Goods at Low Prices

SMM Insight 01:34:29PM Jul 15, 2010 Source:SMM

SHANGHAI, July 15 (SMM) -- Mainstream offers of EMM were between RMB 14,500-14,600/mt today. Producers' unwilling to move goods grew from increased trading volumes when prices fell to RMB 14,400/mt, and most EMM producers in Xiushan region were reluctant to move goods at prices below RMB 145,000/mt.

According to SMM survey, current operating rates at EMM producers in Guangxi province were 46%, and operating rates at producers in Hunan province were 34%. Some producers have already halted production for more than a month, leading to significant reduces of market supply.

According to SMM sources, some #200 stainless steel mills are still conducting unit maintenance or on production suspension, and demand for EMM continue waning. However, purchases from traders began to increase when EMM prices fell below RMB 145,000/mt. According to a trader in Ningbo, it is appropriate to make some replenishment at present. Although current market is sluggish, any room for EMM prices to fall further will be limited. 

To contact the writer on this report: jianghanmei@smm.cn

 

Copyright © SMM. All Rights Reserved

None of this material may be used for any commercial or public use in any forms or means, without the prior written consent of SMM. For reproduction issue, please contact us by email: service.en@smm.cn