China’s imports of cobalt raw materials fell sharply in September

SHANGHAI, Oct 27 (SMM)—The latest customs data showed that China imported 6,700 mt (Co content) of cobalt raw materials in September, down 27% on the month and 32% on the year. For the first nine months of this year, imports totalled 61,200 mt (Co content), falling 2% from the same period last year.

Imports of cobalt ore stood at 424 mt (Co content) in September, basically flat month on month, but down 65% year on year, and totalled 3,500 mt (Co content) in January-September, 40% lower compared with the same period last year.

Imports of intermediate products of cobalt hydrometallurgy came in at 5,600 mt (Co content) in September, decreasing 28% on a monthly basis and 35% on a yearly basis, with a monthly average import price of $25,893/mt (Co content), up 4% on the month and 28% on the year; imports totalled 53,900 mt (Co content) in the first nine months of 2020, down 3% from a year ago, with an average import price of $25,702/mt (Co content), down 3% year on year.

Imports of unwrought cobalt stood at 723 mt (Co content) in September, falling 36% on the month, but surging 469% on the year, and totalled 3,800 mt (Co content) during January-September, jumping 250% from a year earlier.

The coronavirus pandemic affected logistics in mining areas and limited exports, which prompted suppliers to sign fewer retail orders. As negotiations on long-term contracts for delivery next year are underway and suppliers controlled shipments, inventories at domestic smelters failed to be as ample as expected. More inquiries from smelters helped keep cobalt raw materials prices firm.   

Domestic cobalt raw materials inventories fell 1,300 mt (Co content) in September, and are expected to shrink 30 mt in October.