Silicomanganese Imports Surged by 483.52% Mom in October, the Average Spot Price Fell by about 35% MoM

SHANGHAI, Nov 22 (SMM) – Ferro-silico-manganese imports stood at 8,356 mt in October, up 483.52% MoM and 457.07% YoY; the exports registered 7,129.7 mt, up 11.47% MoM and 105.64% YoY. Its exports total 93,090.53 mt from January to October, and the imports stood at 21,799 mt.

The output of silicomanganese gradually increased amid the easing of power rationing from mid-October. Alloy plants mainly delivered orders in early stage. The spot supply in the market gradually increased as the power rationing did not intensify. However, the output cut of downstream steel mills has not yet eased, and the spot prices of silico-manganese have corrected amid increasing supply and unchanged demand. As of today, the spot prices of silicomanganese in south China have dropped from a high of 12,850 yuan/mt (cash, ex-factory) in October to 8,450 yuan/mt (cash, ex-factory), down 34.24%; spot prices have fallen from 12,700 yuan/mt (cash, ex-factory) to 7,950 yuan/mt (cash, ex-factory), down 37.4%.

Some alloy plants are cutting their output while the spot supply in the market is digesting. There are rumours that steel mills are expected to resume production in December. If it is true, the supply and demand relationship of silico-manganese may change, and the spot price may stop falling, and correct slightly.