Cost Support Temporarily Stabilizes, SiMn Futures Climb [SMM Manganese Silicon Futures Review]

On January 28, the SM2605 contract opened at 5,822 yuan/mt and closed at 5,832 yuan/mt, up 0.24%. The daily highest price was 5,836 yuan/mt, and the lowest price was 5,786 yuan/mt. The trading volume was 139,900 lots, and the open interest was 374,987 lots. SiMn futures fluctuated and climbed today. Cost side, overall manganese ore transaction prices remained high and the market was temporarily stable, providing strong cost support for SiMn alloy prices; the cost support from 2026 Inner Mongolia regional electricity prices and south China electricity prices for alloy costs is under verification. Supply side, recent new SiMn furnace start-ups in the main northern producing regions increased general SiMn capacity, adding to supply pressure. The operating rate of alloy plants in south China remained stably low. It is understood that the strength of 2026 Guangxi and Guizhou electricity fee preferential policies needs verification, with most still maintaining off-peak production, and some plants choosing temporary shutdowns, awaiting the month-end electricity fee settlement price. Current SiMn supply remains loose with persistent pressure. Demand side, HBIS Group's January 2026 SiMn procurement volume was 17,000 mt, compared to December's 14,700 mt, showing an increase; the SiMn price was set at 5,920 yuan/mt, compared to December's 5,770 yuan/mt, indicating a price rise. Market sentiment remained mediocre. The current SiMn market continues to be dominated by volatile movement.