[SMM Weekly Manganese Ore Review] Prices of some manganese ores rose significantly, and manganese ore prices remained firm

On August 15th: Northern ports: Australian lump ore at 40.7-41.2 yuan/mtu, unchanged from last Friday on a WoW basis; South African semi-carbonate ore at 34.9-35.4 yuan/mtu, unchanged from last Friday on a WoW basis; Gabonese ore at 39.8-40.6 yuan/mtu, unchanged from last Friday on a WoW basis; South African high-iron ore at 29.5-30 yuan/mtu, unchanged from last Friday on a WoW basis; South African medium-iron ore at 35.2-35.7 yuan/mtu, unchanged from last Friday on a WoW basis.

Southern ports: Australian lump ore at 40.2-40.9 yuan/mtu, unchanged from last Friday on a WoW basis; South African semi-carbonate ore at 36.5-37 yuan/mtu, up 2.80% from last Friday on a WoW basis; Gabonese ore at 40.3-40.8 yuan/mtu, unchanged from last Friday on a WoW basis; South African high-iron ore at 30.6-31.1 yuan/mtu, unchanged from last Friday on a WoW basis; South African medium-iron ore at 36.6-37.3 yuan/mtu, up 0.27% from last Friday on a WoW basis.

Recently, manganese ore prices have remained firm, with some ore types showing significant upward trends.

Demand side: The SiMn market continued to fluctuate at highs during the week, with SiMn futures fluctuating around 6,000 yuan/mt. The market sentiment was positive, coupled with the moderate enthusiasm of SiMn producers for production, leading to an increase in demand for manganese ore. Separately, in the northern market: Affected by the expected policy on procurement transportation restrictions at Tianjin Port in late August, many SiMn alloy producers in the region have chosen to pick up goods in advance, driving up the offers of ore merchants. As a result, the spot prices of manganese ore in the northern market have shown a slight upward trend. In the southern market: Southern SiMn alloy producers maintained their production schedules based on orders, with stable demand for manganese ore. Additionally, the circulation volume of South African ore at Qinzhou Port has tightened, making it difficult to find low-priced manganese ore in the market. This has driven up manganese ore prices slightly, with South African semi-carbonate ore showing the most significant upward trend this week, rising by 1 yuan/mtu.

Inventory side: Last Friday, overseas manganese ore port arrivals at Tianjin Port increased, with the increase being greater than the pickup volume of SiMn alloy producers in the recent period, leading to inventory buildup at Tianjin Port. SiMn alloy producers at Qinzhou Port maintained a normal pickup frequency, resulting in a slight destocking at Qinzhou Port.

Overall, the gradual release of downstream demand for manganese ore has supported the firmness of manganese ore prices. However, the market still needs to pay attention to the potential impact of the "anti-rat race" sentiment at the macro perspective on market sentiment. It is expected that manganese ore prices will remain firm in the short term.