Silicon futures held up well, with a warm trading atmosphere in the market. [SMM Silicon Manganese Futures Review]

January 12: The SM2603 contract opened at 5,969 yuan/mt and closed at 5,930 yuan/mt, up 0.85%. The highest price for the day was 5,964 yuan/mt, and the lowest was 5,892 yuan/mt. Trading volume was 144,800 lots, and open interest stood at 257,314 lots. SiMn futures held up well today, with a relatively warm trading atmosphere. Cost side, manganese ore prices remained high at the beginning of the week, and traders' offers stayed firm, with transaction prices for manganese ore edging up slightly. Supply side, new SiMn furnaces in the main northern production areas started production earlier, increasing general-grade SiMn capacity. Operating rates at alloy plants in south China remained stably low. It is understood that the extent of electricity price preferential policies in Guangxi and Guizhou for 2026 remains to be verified, with most plants still maintaining off-peak production, and some choosing to temporarily halt operations. Loose supply pressure for SiMn persists. Demand side, downstream steel mills have begun winter stockpiling, which may provide short-term demand support, pending the release of this month's new round of tender prices from downstream steel mills for SiMn. The SiMn market is currently fluctuating, and close attention to fundamental supply-demand conditions is still needed.