Export orders, supply shortfall bolstered silicon prices

SHANGHAI, Feb 24 (SMM) – Prices of silicon metal rose significantly last week as an absence of full recovery of motor traffic amid a coronavirus outbreak continued to see shortage of specifications at some traders and downstream producers, and overseas consumers resumed purchases. 

An increase in foreign orders prompted producers of high-grade silicon in China to restart operations last week, and the higher spot prices accelerated their resumption pace. 

More downstream producers of aluminium alloy resumed production and made enquires actively on the back of low inventories of raw materials. However, trades were limited with consumers and sellers discussing the prices since offers by suppliers were significant higher than the levels before the Chinese New Year holiday. 

According to SMM assessments, prices of non-oxidised 553# silicon in east China stood at 11,700-11,800 yuan/mt as of February 24, up 300 yuan/mt from a week earlier. Prices of 3303# silicon in east China climbed 400 yuan/mt on the week to 13,100-13,200 yuan/mt as of February 24, with prices of 421# silicon expanding 300 yuan/mt to 13,000-13,100 yuan/mt.