China's Imports of Chrome Ore Rose to 1.32 Million mt in September

SHANGHAI, Oct 21 (SMM) - According to customs statistics, China's imports of chrome ore were 1.32 million mt in September 2021, an increase of 85,200 mt or 6.9% from the previous month and 189,600 mt or 16.79% on the year. Chrome ore imports from South Africa were 951,500 mt, a decline of 73,200 mt or 7.14% mt on the month, but a year-on-year the decline of 12,600 mt or 1.34%. Chrome ore imports totalled 11.34 million mt from January to September 2021, up 1.015 million mt or 9.83% year on year.

According to the SMM survey, the national power rationing and production restrictions were severe and the energy consumption dual control policy was stricter in September. The production of high-carbon ferrochrome was thus limited, and the demand for chrome ore decreased. Concentrated chrome ore arrived this month, with the port inventory up 539,600 mt or 15.96% on the year, but the shipping costs remain high. With the cost support, chrome ore price is expected to stabilise.

Although the power rationing has been eased since October, the price of electricity has increased significantly and cost pressures have appeared. In addition, the inventory of chrome ore is still relatively sufficient. The future power rationing situation is still unclear. Ferrochrome plants have low purchasing desires, so there's big pressure on chrome ore prices.