Multiple favorable factors drive up manganese ore prices [SMM Manganese Ore Daily Review]

On July 29th: Northern ports: Australian lump ore at 40.2-40.7 yuan/mtu, up 1.25% WoW from last Tuesday; South African semi-carbonate ore at 33.9-34.4 yuan/mtu, unchanged from last Tuesday; Gabonese ore at 39-39.8 yuan/mtu, up 2.60% WoW from last Tuesday; South African high-iron ore at 29.4-29.7 yuan/mtu, up 0.34% WoW from last Tuesday; South African medium-iron ore at 34.2-34.7 yuan/mtu, up 1.47% WoW from last Tuesday.

Southern ports: Australian lump ore at 39.9-40.4 yuan/mtu, up 0.50% WoW from last Tuesday; South African semi-carbonate ore at 34-34.5 yuan/mtu, unchanged from last Tuesday; Gabonese ore at 39.3-39.8 yuan/mtu, up 1.28% WoW from last Tuesday; South African high-iron ore at 29.9-30.4 yuan/mtu, up 2.38% WoW from last Tuesday; South African medium-iron ore at 34.6-35.1 yuan/mtu, up 1.75% WoW from last Tuesday.

In terms of supply, after South32 raised its offers for South African semi-carbonate and Australian lump ore to China last week, miners were reluctant to sell at lower prices, and offers remained firm, with low-priced cargoes hard to find.

Demand side, at the seminar of top-tier enterprises in the northern manganese industry held last Friday, participating enterprises initially reached a consensus on energy conservation and emission reduction of 40%, directly leading to a limit-up in SiMn futures. The market sentiment for refusing to budge on manganese ore prices strengthened further. Coupled with the volatile rise in SiMn futures market at the beginning of the week, market tension eased somewhat. Spot prices of SiMn in both northern and southern markets rose slightly, and the acceptance of manganese ore increased slightly. Among them, the transaction price of Gabonese lump ore at Tianjin Port rose the most, up 1 yuan/mtu from last Tuesday; South African high-iron ore at Qinzhou Port rose the most, up 0.7 yuan/mtu from last Tuesday.

In terms of inventory, Qinzhou Port experienced a slight destocking. The supply of South African ore was tight, and traders' reluctance to sell was evident, further supporting price increases.

Overall, there are many favorable factors in the manganese ore market. It is expected that manganese ore prices will remain firm in the short term. In the future, it is necessary to continuously monitor the actual enforcement of emission reduction policies in the north, port inventory levels, and the futures market situation of SiMn.