[Weekly SMM Chrome Market Review] Steel Tenders Begin Bidding, Chrome Market Operates Steadily

On December 19, 2025, the ex-factory price of high-carbon ferrochrome in Inner Mongolia was 8,050-8,250 yuan/mt (50% metal content); in Sichuan and north-west China, the ex-factory price was 8,100-8,300 yuan/mt (50% metal content); in east China, the quotation was 8,300-8,400 yuan/mt (50% metal content), flat MoM from the previous trading day. For imported material, the quotation for South African high-carbon ferrochrome was 8,200-8,400 yuan/mt (50% metal content); the quotation for Kazakh high-carbon ferrochrome was 9,000-9,100 yuan/mt (50% metal content), flat MoM from the previous trading day.

This week, the ferrochrome market operated steadily with a positive trend. Retail quotations increased by 100 yuan/mt (50% metal content) WoW, and trading activity improved. During the week, TISCO took the lead in announcing the January 2026 steel mill tender price for high-carbon ferrochrome at 7,995 yuan/mt (50% metal content), down 200 yuan MoM, which impacted the continued upward momentum of ferrochrome quotations, leading to a temporarily stable market. However, overall market sentiment was not overly pessimistic, as participants continued to closely monitor the tender dynamics of other mainstream steel mills. Supply and demand side, ferrochrome producers in south China, especially in Sichuan, successively halted production, coupled with limited release of new ferrochrome capacity in the north. Overall production likely decreased MoM, alleviating the slight supply surplus of ferrochrome to some extent. Cost side, chrome ore prices stabilized with an upward adjustment, and recent arrivals were mostly high-priced futures purchased earlier, increasing ferrochrome production costs and supporting stable price operation. The ferrochrome market is expected to maintain a stable operating trend in the short term.

Raw material side, on December 19, 2025, spot 40-42% South African fines at Tianjin Port were quoted at 51-52.5 yuan/mtu; 40-42% South African raw ore was quoted at 46.5-48 yuan/mtu; 46-48% Zimbabwean chrome concentrate was quoted at 52.5-53.5 yuan/mtu; 48-50% Zimbabwean chrome concentrate was quoted at 54-55 yuan/mtu; 40-42% Turkish chrome lump ore was quoted at 57-59 yuan/mtu; 46-48% Turkish chrome concentrate was quoted at 60-61 yuan/mtu, all flat MoM from the previous trading day. For futures, 40-42% South African fines were quoted at $263-265/mt.

This week, trading activity in the chrome ore market recovered. After low-priced material from earlier periods was basically cleared, traders' sentiment to hold prices firm became prominent, with many holding back from selling. Meanwhile, buyer ferrochrome producers gradually started purchasing, with restocking demand gradually being released, inquiry enthusiasm increased, and counteroffer pressure decreased. Amid the tug-of-war between sellers and buyers, chrome ore prices had some upward momentum. Furthermore, overseas major mines maintained their quotations flat, offsetting the impact of the 200-yuan decrease in the January tender, providing some support to market confidence. For futures, the latest quotation for the most-traded 40-42% South African fines from major mines remained flat at $263/mt, showing a strong willingness to hold prices firm, which provided some support to market prices, and most traders followed suit in holding prices firm. Considering subsequent stockpiling demand, many traders recently started purchasing in phases, leading to relatively concentrated transactions. In the short term, the chrome ore market is expected to operate steadily, with attention on the bidding prices of other mainstream steel mills.