[SMM Chrome Daily Review] Ferrochrome prices rise steadily amid stability; chrome ore market shows positive trend amid stability

On August 4, 2025, the ex-factory price of high-carbon ferrochrome in Inner Mongolia was 7,850-8,000 yuan/mt (50% metal content); in Sichuan and north-west China, it was 7,900-8,000 yuan/mt (50% metal content); in east China, the quoted price was 8,100-8,200 yuan/mt (50% metal content); in South Africa, it was 7,800-8,000 yuan/mt (50% metal content); and in Kazakhstan, it was 8,800-9,000 yuan/mt (50% metal content), up 25 yuan/mt (50% metal content) MoM from the previous trading day.

Within the day, ferrochrome prices rose slightly, with cost support strengthening. A new round of coke price increases is expected to be implemented soon, coupled with a gradual increase in chrome ore prices, leading to a continuous rise in the immediate smelting cost of ferrochrome. Manufacturers have shown a clear intention to refuse to budge on prices and explore further increases. Meanwhile, demand has remained relatively stable, with stainless steel production schedules expected to rebound in August. Coupled with macro tailwinds driving up futures and spot prices, market confidence has strengthened, and the demand outlook for ferrochrome is positive. It is expected that the ferrochrome market will generally operate in a stable manner with a slight rise.

On the raw material side, on August 4, 2025, the spot price of 40-42% South African powder at Tianjin Port was 54.5-55.5 yuan/mtu; the quoted price of 40-42% South African raw ore was 49-51 yuan/mtu; the quoted price of 46-48% Zimbabwe chrome concentrate powder was 57-58 yuan/mtu; the quoted price of 48-50% Zimbabwe chrome concentrate powder ore was 58-59 yuan/mtu; and the quoted price of 40-42% Turkish chrome lump ore was 60-61 yuan/mtu, unchanged MoM from the previous trading day. On the futures front, 40-42% South African powder held steady at $265-270/mt; and 40-42% Zimbabwe chrome concentrate powder was quoted at $310-320/mt.

Within the day, the chrome ore market operated smoothly, with inquiries and trading volumes improving. After the steel mill tender prices were announced, under the influence of positive expectations, ferrochrome plants' purchasing demand was released, with frequent restocking and stockpiling actions, leading to a gradual increase in spot trading volumes. In addition, chrome ore port inventories have increased significantly, with a notable rise in recent chrome ore port arrivals. It is expected that the subsequent tight supply situation of chrome ore may be alleviated to some extent. On the futures front, the quoted price of 40-42% South African powder remained stable, while the transaction price of Zimbabwe chrome concentrate powder ore rose slightly. Traders mostly purchased small quantities, with trading volumes remaining stable. It is expected that chrome ore prices will operate in a stable manner with a slight rise in the short term.