In August, China's high-carbon ferrochrome imports reached 280,900 mt, with a slight decrease unable to change the oversupply situation [SMM Analysis]

According to Chinese customs statistics, in August 2024, China's high-carbon ferrochrome imports were 280,900 mt, down 25,000 mt MoM, a decrease of 8.17%, down 5,500 mt YoY, a decrease of 1.93%. From January to August 2024, China's total high-carbon ferrochrome imports were 2.5312 million mt, up 416,600 mt YoY, an increase of 19.7%. By country, in August, China imported 139,700 mt of high-carbon ferrochrome from South Africa and 93,500 mt from Kazakhstan. In August, the import volume of high-carbon ferrochrome through general trade was 188,500 mt, while bonded warehouse and special customs supervision area logistics accounted for 91,100 mt. In August, high-carbon ferrochrome exports were 11,500 mt.

According to SMM, domestic ferrochrome supply remains significantly excessive, and mainstream stainless steel mills' bidding prices fell, leading to a decrease in high-carbon ferrochrome imports. However, domestic ferrochrome prices remain high, limiting the decline in import volumes amid high stainless steel production. Additionally, the continued high import volume from Kazakhstan and limited export growth within the year make it difficult to reverse the short-term ferrochrome oversupply situation.