SHANGHAI, Jul 24 (SMM) – Silicon metal inventories across Huangpu port, Kunming city and Tianjin port totalled 52,000 mt as of July 24, up 3,000 mt from last week, showed SMM data.
The rebound in inventories was mainly contributed by Huangpu port, as the purchase by traders gradually transferred to ports and the amount of pledged goods increased.
SMM expects the inventories to continue to pile up in the near term, based on the trade volumes and supply in the market, as the increase in silicon metal inventories usually lags behind the improvement of market transaction activity.
However, it is more and more common to see cargoes directly moved from plants to destinations without passing through the warehouses, amid cost control of traders and improved transportation conditions. This accounted for the decline in current social inventories on a yearly basis.
