Home / Metal News / Copper / China Silicomanganese Alloy Market Movement: Silicomanganese Alloy Price Fluctuates Weakly, CISA Anticipates February Daily Crude Steel Output Hits New High since June 2012 (2013-3-7)
China Silicomanganese Alloy Market Movement: Silicomanganese Alloy Price Fluctuates Weakly, CISA Anticipates February Daily Crude Steel Output Hits New High since June 2012 (2013-3-7)
Mar 7,2013 17:36CST
price review forecast
Source:SMM
According to the China Iron & Steel Association (CISA), domestic daily average crude steel output in late February was 2.03 million mt, up 1.4% compared to ten days earlier.

SHANGHAI, Mar. 7 (SMM) – According to the China Iron & Steel Association (CISA), domestic daily average crude steel output in late February was 2.03 million mt, up 1.4% compared to ten days earlier, and hit a new high since June 2012. February is a traditional low demand period for steel, and combined with the Chinese New Year holiday factor, end-user demand was sluggish. But due to optimistic market early this year and rising steel market before the holiday, steel plants raised output. Since end-user demand has yet to improve, and since China’s additional regulations towards the real estate sector were released, and since China’s central bank controls liquidity, the overall steel market is pessimistic, falling since late February.

Domestic major steel plants had been major driving force of crude steel output growth, but due to low demand and growing inventories, they slowed production during the Chinese New Year holiday. Nevertheless, none-CISA members began to release capacity, causing crude steel output to increase in late February. The CISA anticipates daily average crude steel output at medium-to-large enterprises will be 1.73 million mt in late February, up 0.8% from ten days ago. Daily average crude steel output at none-CISA enterprises will grow 5% from ten days ago.

Domestic outdoor construction commenced in early March, and end-user demand also improved. But due to fresh regulations to the real estate sector, the market lacks confidence. Besides, the government set economic growth target at 7.5% this year, and the target for fixed-assets investment growth at 18%. Given oversupply, domestic crude steel output should remain high in future. But the onset of traditional high demand season for steel will give a support to steel prices. However, when steel prices will move higher will depend on demand.

Steel daily output hit a new high, but the market remains sluggish. In this context, demand for silicomanganese alloy was still weak. Steel plants continued to pull down procurement prices.

Mainstream quotes for silicomanganese alloy today:
 

Product
Brand
Province
Mainstream Prices Today (RMB/mt)
Mainstream Prices on Mar. 6 (RMB/mt)
Fluctuation
Note
Silicomanganese alloy
6517
Liaoning
6950-7050
6950-7050
Ex-works, including tax
Silicomanganese alloy
Hunan
6700-6800
6700-6800
Ex-works, including tax
Silicomanganese alloy
Henan
6400-6500
6400-6500
Excluding tax,
Trading Market
Silicomanganese alloy
Guangxi
6700-6800
6700-6800
Ex-works, including tax
Silicomanganese alloy
Sichuan
6700-6800
6700-6800
Ex-works, including tax
Silicomanganese alloy
Yunnan
6600-6700
6600-6700
Ex-works, including tax
Silicomanganese alloy
Guizhou
6700-6800
6700-6800
Ex-works, including tax
Silicomanganese alloy
Ningxia
6850-6900
6850-6900
By acceptance, ex-works, including tax
Silicomanganese alloy
Shanxi
6800-6850
6800-6850
Ex-works, including tax
Silicomanganese alloy
Inner Mongolia
6800-6850
6800-6850
Ex-works, including tax
Silicomanganese alloy
6014
Hunan
5950-6000
5950-6000
Ex-works, including tax
Silicomanganese alloy
Guangxi
5850-5950
5850-5950
Ex-works, including tax
Silicomanganese alloy
Guizhou
5850-5900
5850-5900
Ex-works, including tax
Silicomanganese alloy
Hunan
5600-5700
5600-5700
Ex-works, excluding tax
Silicomanganese alloy
Guangxi
5500-5600
5500-5600
Ex-works, excluding tax
Silicomanganese alloy
Guizhou
5500-5550
5500-5550
Ex-works, excluding tax
Silicomanganese alloy
58#
Hunan
5350-5400
5350-5400
Ex-works, excluding tax
Silicomanganese alloy
55#
Hunan
5200-5250
5200-5250
Ex-works, excluding tax
Silicomanganese alloy
50#
Hunan
4850-4900
4850-4900
Ex-works, excluding tax
silicomanganese alloy price

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