[SMM Chrome Daily Review] Ferrochrome Prices Drop Back Slightly, Chrome Ore Hold Prices Firm Mentality Remains Unchanged

On December 23, 2025, the ex-factory price for high-carbon ferrochrome in Inner Mongolia was 8,050-8,200 yuan/mt (50% metal content); in Sichuan and north-west China, the ex-factory price was 8,100-8,250 yuan/mt (50% metal content); in east China, the offer price was 8,300-8,400 yuan/mt (50% metal content), down 25 yuan MoM; for imported ferrochrome, the offer price for South African high-carbon ferrochrome was 8,200-8,400 yuan/mt (50% metal content); the offer price for Kazakh high-carbon ferrochrome was 9,000-9,100 yuan/mt (50% metal content), flat MoM.

The ferrochrome market was stable intraday. The 200-yuan decline in Tsingshan's steel mill tender price affected market confidence to some extent. Due to concerns over expectations for production cuts in stainless steel, downstream purchase willingness was moderate, with most participants adopting a wait-and-see approach, leading to low transaction activity. However, support from the cost side limited the downside room for ferrochrome prices, as chrome ore prices were stable to higher and recent arrivals were mostly high-priced futures, increasing production costs. Additionally, current production cuts in south China, combined with limited release of new capacity in the north, maintained a tight supply-demand balance for ferrochrome. The ferrochrome market is expected to remain stable in the short term.

Raw material side, on December 23, 2025, the spot offer price for 40-42% South African concentrate at Tianjin port was 52-52.5 yuan/mtu; for 40-42% South African raw ore, it was 47-48.5 yuan/mtu; for 46-48% Zimbabwean chrome concentrate, it was 53.5-54.5 yuan/mtu; for 48-50% Zimbabwean chrome concentrate ore, it was 55-56 yuan/mtu; for 40-42% Turkish chrome lump ore, it was 58-60 yuan/mtu; for 46-48% Turkish chrome concentrate, it was 60.5-61.5 yuan/mtu, up 0.5-1 yuan/mtu MoM. For futures, the offer price for 40-42% South African concentrate was $263-265/mt.

Intraday chrome ore offers increased. Arrivals of high-priced futures kept the market in a backwardation state, coupled with the clearance of previous low-priced tailings, leading traders to hold prices firm. However, ferrochrome producers have largely completed their phased restocking demand, resulting in weak recent inquiry enthusiasm and stagnant transactions. Furthermore, port inventories of chrome ore continued to accumulate, leading to structural mismatches: ample supply of South African concentrate created strong sales pressure, while lump ore, especially mainstream grades, was relatively tight, providing some price support. For futures, the latest offer price from the main mine for 40-42% South African concentrate remained flat at $263/mt. Domestic traders have been making purchases recently based on stockpiling plans, but overseas mines are gradually strengthening their control over supply, limiting volume. The chrome ore market is expected to operate steadily in the short term.