Domestic EMM Prices Inch Down Thursday

SHANGHAI, May 11 (SMM) – Mainstream offers for domestic EMM prices were between RMB 14,800-14,900/mt Thursday, continuing to edge lower owing to sluggish demand.

According to SMM sources, overall #200 stainless steel markets, EMM downstream consumers, have recently remained stable. However, #200 stainless steel prices in Foshan fell by RMB 100/mt since goods from Lianzhong (Guangzhou) Stainless Steel Co., Ltd. arrived, while #201 stainless steel supply from Baosteel was steady.

The average operating rate at domestic EMM producers remains at 46% at present. Nevertheless, operating rate at those producers in Guangxi and Hunan is relatively low on higher costs, but that at producers in Songtao, Guizhou Province maintains high due to advantageous electricity prices and low ore prices. EMM producers in Xiushan, Chongqing have gradually resumed operation following inspections, in addition to some cost advantages.
Tianxiong Manganese Industry Group, Xiushan Hengwang Manganese Industry Co., Ltd., and some other producers have restored capacities.

The cost for domestic EMM producers has declined by around RMB 30/mt on stable ore and sulfuric acid prices, and since selenium dioxide prices retreated to RMB 650-660/kilogram.