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SMM Mn Survey: Operating Rates at China's EMM Producers in June Fell to 52.95%
Aug 5, 2010 17:17CST

SHANGHAI, Aug. 5 (SMM) -- A recent survey of 88 EMM producers (total capacity 134.7 million/yr) revealed that operating rates at EMM producers in June fell by 0.7% MoM to 52.95%, with relatively stable operating rates reported. An estimated output of EMM in July in China was approximately 95 kt based on current operating rates, given that China's capacity of EMM is 1.8 million mt/yr in main producing regions like Guangxi, Guizhou, Hunan provinces and Chongqing.
By Scale


Operating rates at EMM producers with capacity less than 10 kt/yr or more than 20kt/yr haven't changed significantly, which is mainly due to the fact that operating rates at EMM producers with capacities between 10kt/yr and 20kt/yr lowered significantly. Most producers negatively affected by impact from mine disaster in Xiangxi region of Hunan province as well as from tight ore powder supply are medium-sized companies, as they can neither operate flexibly like small-sized companies nor have ample cash flow to cope with sluggish market condition like large-sized companies. In this context, medium-sized companies remained largely cautiously, and most of them told that they may consider resume operation in September. 

EMM Prices

Monthly average price of EMM was 14,730/mt during July, up RMB 260/mt MoM.


Raw Material Prices

Prices of major raw material for EMM production, including manganese carbonate ore, sulfuric acid and selenium dioxide, remained largely stable. Prices for manganese carbonate powder (16%) delivered to factory remained between RMB 820-850/mt (including tax); prices to factory of sulfuric acid (98%) remained between RMB 450-500/mt, prices to selenium dioxide were between RMB 425-435/kg. Total costs were around RMB 14,500/mt.


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