SHANGHAI, Jul. 29 (SMM) -- Supply of EMM reduced significantly, and production costs for EMM were still high, so domestic EMM prices may advance slightly. However, weak demand may restrict EMM prices from rising significantly. SMM expects EMM prices will move in the RMB 18,500-18,700/mt rang in the following week.
EMM output at major producing regions may slip to 60 kt per month, due to severe power rationing in Guangxi, Hunan and Guizhou provinces, as well as environmental protection in Guizhou province.
Demand for EMM from stainless steel mills was still sluggish. However, higher prices of silicomanganese dampened cost advantage of silicomanganese and may slightly increase demand for EMM.
Current prices for manganese ore, sulfuric acid, and selenium dioxide were stable, so production costs were still high at EMM producers.