Yunnan Silicon Plants Offer Firmly, Market Remains Dull

Attacks linked to extractive operations in Pakistan's resource-rich Balochistan province are increasing, with the Armed Conflict Location & Event Data Project (ACLED) recording 38 incidents connected with extractive activities between January and September 2026, taking the three-year total above 130. Chromite is among the minerals extracted in the province, and ACLED data show that nearly 90% of attacks linked to mineral projects occur along roads, where militants target vehicles transporting minerals and supplies rather than directly attacking heavily secured mine sites. The security situation could add pressure to Pakistan's chromite supply and logistics chain, particularly as Balochistan's limited road and rail infrastructure leaves mineral producers dependent on key transport corridors. Earlier this year, the Balochistan Goods Truck Owners Association also announced a strike over attacks on trucks carrying chromite and other minerals, highlighting the direct logistics risk to the sector. With Pakistan seeking to develop its mineral resources and attract international investment, continued disruption along mining routes could increase transportation costs and complicate the movement of chromite from producing areas to processing and export hubs.

Madagascar's state-owned chrome producer Kraomita Malagasy (KRAOMA) is preparing to resume extraction at its Brieville chrome operation, after years of inactivity. The company's interim management has begun reforms and discussions with employees, while part of the funds recovered through an anti-corruption investigation has been used to settle six months of outstanding wages, with the company also allocating funds toward restarting operations at Brieville. KRAOMA has reportedly not exported chrome since 2019. The potential restart could return a previously dormant African chrome-ore supplier to the international market. KRAOMA historically produced high-grade chromite concentrate, while Madagascar's chrome sector has faced prolonged financial, operational and governance challenges. With international chrome prices having improved from the levels that contributed to KRAOMA's earlier difficulties, a successful restart could create additional African supply and potentially broaden sourcing options for Chinese chrome-ore consumers. However, the timing and scale of any renewed production and exports remain subject to KRAOMA's operational and financial recovery.

SMM learned that a European stainless steel producer purchased 3 truckloads of molybdenum oxide briquettes yesterday totaling about 75 tonnes. On DDP basis, one truck traded at $33.65/lb Mo, while the other two traded at $33.80/lb Mo each. The lowest-priced lot was supplied by an international trader and nets back to about $33.20/lb Mo after freight and other charges. Market sources said this lot may be Armenian-origin, although this remains unconfirmed. The other two trucks were supplied by major international molybdenum suppliers. Market feedback suggests that news of the lower-priced overseas deal may have contributed to the sharp weakening in China’s market sentiment this afternoon, with ferromolybdenum transactions falling from about RMB345,000/tonne yesterday to RMB341,000/tonne.