November High-Carbon Ferrochrome Imports Reached 3.107 Million mt, Supply Surplus Keeps Prices Depressed [SMM Analysis]

According to Chinese customs statistics, China's high-carbon ferrochrome imports in November 2024 totaled 317,000 mt, up 59,100 mt MoM (23.52%) and up 12,700 mt YoY (4.25%). From January to November 2024, China's total high-carbon ferrochrome imports reached 3.398 million mt, up 378,700 mt YoY (12.54%). By country, in November, China imported 174,800 mt of high-carbon ferrochrome from South Africa and 95,900 mt from Kazakhstan. In November, imports of high-carbon ferrochrome via ordinary trade amounted to 231,200 mt, while entry and exit goods in bonded control areas and entrepot trade by customs special control areas accounted for 75,500 mt.

According to SMM, despite the continuous decline in domestic high-carbon ferrochrome bidding prices, stainless steel production remains at a high level, keeping demand for ferrochrome imports strong. However, the ferrochrome market has experienced a severe surplus this year, with prices continuously falling, leading to increasing losses and production halts among ferrochrome producers, resulting in a reduction in domestic ferrochrome supply. Although stainless steel production remains high, the persistent ferrochrome supply surplus, ample raw material inventory, and the potential for some stainless steel mills to schedule annual maintenance near year-end may lead to a slight decline in short-term demand for ferrochrome.