SHANGHAI, Jan. 21 (SMM) –
Total inventories were between 43,000-45,000 mt at Huangpu port, including 13,000-15,000 mt at Hongkai warehouse, 2,000 mt at Yuehua warehouse, 2,000 mt at Wanxiong warehouse and 8,000 mt at Matou warehouse. Total inventories in two warehouses in Yunnan province were around 50,000 mt. Most producers have already halted production and some producers have plan to suspend production. The production hiked caused by electricity price increase and fewer workers around the Chinese New Year holiday will increase the number of producers halting production. Therefore, supply of silicon metal will be tight around Chinese New Year holiday.
Domestic traders’ purchasing interest for silicon metal has increased recently.
Prices for low-grade silicon metal were stable, but prices for high-grade silicon metal increased last week.
SMM believes that tight supply and stable demand will made silicon metal prices advance by RMB 100-300/mt in the following week.