[SMM Chromium Daily Review] Chromium Market Continues to Weaken as Supply-Demand Benefits Gradually Fade

On October 29, 2025, the ex-factory price of high-carbon ferrochrome in Inner Mongolia was 8,250-8,400 yuan/mt (50% metal content); in Sichuan and north-west China, the ex-factory price was 8,300-8,400 yuan/mt (50% metal content); in east China, the offer price was 8,400-8,500 yuan/mt (50% metal content), flat MoM from the previous trading day. For imported ferrochrome, the offer price for South African high-carbon ferrochrome was 8,100-8,400 yuan/mt (50% metal content); the offer price for Kazakh high-carbon ferrochrome was 9,100-9,400 yuan/mt (50% metal content), flat MoM from the previous trading day.

During the day, the ferrochrome market remained in the doldrums, with news of production cuts at downstream stainless steel mills triggering market pessimism. As the off-season gradually sets in, downstream stainless steel production schedules have relatively decreased, leading to a corresponding pullback in purchase demand for ferrochrome. On the supply side, ferrochrome producers are actively producing, and October's ferrochrome production is expected to hit a new high. Meanwhile, with multiple new capacities scheduled to come online, the tight supply situation for ferrochrome is easing, and the positive factors in the supply-demand fundamentals are gradually fading. The ferrochrome market is expected to remain under pressure in the near term.

Raw material side, on October 29, 2025, the spot offer for 40-42% South African fines at Tianjin Port was 55-55.5 yuan/mtu; the offer for 40-42% South African raw ore was 49-50 yuan/mtu; the offer for 46-48% Zimbabwean chrome concentrate was 56-57 yuan/mtu; the offer for 48-50% Zimbabwean chrome concentrate was 57-59 yuan/mtu; the offer for 40-42% Turkish chrome lump ore was 59.5-60.5 yuan/mtu; the offer for 46-48% Turkish chrome concentrate was 65-66 yuan/mtu, down 0.5 yuan/mtu MoM from the previous trading day. In the futures market, the offer for 40-42% South African fines was $280-284/mt; the offer for 48-50% Zimbabwean chrome concentrate was $340-350/mt, flat MoM from the previous trading day.

During the day, the chrome ore market saw limited fluctuations, with inquiries and purchases remaining mediocre. In the spot market, some ferrochrome producers started to enter the market for procurement, but most still made just-in-time procurement, with price reduction efforts during counteroffers remaining strong, awaiting actual transactions. On the seller side, considering that recently arrived chrome ore was mostly priced at $270-275/mt, equivalent to about 54 yuan/mtu for spot cargo, gradually approaching the cost line, the downside room for chrome ore prices is limited, leading some traders to hold back from selling. In the futures market, overseas chrome ore offers remained stable. High production schedules for ferrochrome support short-term demand for ore, but news of steel mill production cuts is affecting future market expectations, resulting in mediocre purchase willingness domestically. South African chrome ore export permits and related taxes remain a recent market focus, pending follow-up developments. The chrome ore market is expected to operate in the doldrums in the short term.