SHANGHAI, Jun 20 (SMM) – Brisk demand and a tight supply of spot materials extended the increase in prices of silicon-manganese alloy in the week to Thursday June 20. Growth in prices of manganese ore continued, which also bolstered the alloy prices.
Limited products of silicon-manganese alloy in Ningxia and Guangxi were sold out quickly on the morning of Thursday June 20, and this intensified shortage of spot cargoes.
As of Thursday June 20, SMM assessed the average offer of #6517 silicon-manganese alloy in Inner Mongolia at 7,575 yuan/mt on acceptance without transportation costs. This compared with offers of 7,400-7,500 yuan/mt in northern markets on Tuesday June 18.
Market talk on June 20 suggested that some areas in Inner Mongolia are likely to face a power cutback of 1 million Kwh. This is expected to disrupt the supply of silicon-manganese alloy and buoy prices further.