SiMn alloy production in February decreased MoM, and production in March is expected to rebound [SMM Analysis].

【SMM Analysis: SiMn Alloy Production Decreased MoM in February, Slight Rebound Expected in March】 According to SMM data, China's total SiMn alloy production in February 2025 decreased by approximately 2% MoM and dropped by over 10% YoY. The main reasons for the February decline in SiMn production were as follows: In north China, regions such as Inner Mongolia maintained high operating rates and continued production during the Chinese New Year holiday. However, some SiMn plants conducted equipment maintenance during the holiday, leading to a slight reduction in production. In Ningxia, some enterprises largely maintained normal production with relatively small fluctuations in daily output. Additionally, in south China, production faced relatively high pressure due to rising manganese ore and electricity costs, resulting in a slight decline in output and a continued reduction in overall operating rates. Consequently, both northern and southern regions experienced production decreases. Combined with the fewer calendar days in February, the total national SiMn alloy production showed a downward trend. Looking ahead to March, SiMn plants in cost-advantaged regions such as Inner Mongolia are expected to maintain high operating rates. Considering that SiMn prices remain relatively weak and profit margins for enterprises are limited, the operating rate increase in other regions is expected to remain relatively low. However, with the increase in calendar days in March compared to February, overall SiMn alloy production is expected to rebound.