According to Chinese customs statistics, China's high-carbon ferrochrome imports amounted to 311,800 mt in May, down 82,800 mt MoM (-20.99% MoM) but up 91,600 mt YoY (+41.62% YoY). In January-May, the imports totalled 1.6139 million mt, up 163,900 mt YoY (+11.3% YoY). In May, China imported 111,800 mt of high-carbon ferrochrome from South Africa and 139,000 mt from Kazakhstan. The volume of high-carbon ferrochrome imported under general trade in May was only 175,000 mt, while that under bonded supervising places and special customs supervision area reached 133,800 mt.
According to SMM, the imports from South Africa saw a sharp drop MoM, while those from Kazakhstan surged significantly in May. However, it is worthy of attention that the imports from Kazakh under the general trade were only 5,300 mt, with most stored in bonded areas. Although China's high-carbon ferrochrome exports in May were only 23,600 mt, most of the cargoes remained in the domestic market. Whether the remaining volume will truly enter the domestic market is still in doubt. However, China's high-carbon ferrochrome production approached 800,000 mt, indicating no overall supply shortage. The market has entered a consumption off-season, with expectations of reduced production by steel mills. NPI prices have already shown a noticeable decline. Whether high-carbon ferrochrome prices, which heavily rely on cost support, can remain firm will depend on the high-carbon steel tender situation in the future.
