[SMM Chromium Daily Review] Costs Become the Core Support, Demand Recovery Is Expected to Be Bullish

As of March 9, 2026, retail quotations for ferrochrome remained unchanged. In Inner Mongolia, high-carbon ferrochrome offers held steady at 8,550-8,650 yuan/mt (50% metal content); high-carbon ferrochrome prices in Sichuan and east China were flat MoM from the previous trading day.

Intraday, the ferrochrome market was most notably affected by costs, and producers’ willingness to hold prices firm remained undiminished. On the raw material side, chrome ore futures and spot prices continued to rise; coupled with higher electricity prices in parts of south China, elevated costs and widening regional disparities became the main support for firm ferrochrome quotations. Meanwhile, a gradual recovery in downstream demand boosted market participants’ bullish outlook. Stainless steel benefited from the “Golden March, Silver April” peak consumption season, with futures and spot prices pulling back and planned production rebounding sharply; steel mills entered the market one after another to restock, directly lifting demand for ferrochrome. In addition, ferrochrome producers have recently focused on delivering earlier orders, leaving tight availability of spot cargo; overall supply and demand returned to a tight balance, and quotations have room for tentative increases. The ferrochrome market is expected to remain in a narrow range and hold up well in the short term. In the overseas market, South African chrome company Samancor recently announced that, due to excessively high operating costs such as electricity, it is expected to cut 2,400 jobs; subsequent developments warrant continued attention.

On the raw material front, as of March 9, 2026, quotations for chrome concentrate and mainstream lumpy ore were raised slightly. At Tianjin Port, 40-42% South African fines were quoted at 59.75 yuan/mtu; 40-42% Turkish chrome lumpy ore was raised to 69 yuan/mtu. On a CIF futures basis, 40-42% South African fines were quoted at $307/mt; 40-42% Turkish lumpy ore was quoted at $315/mt.

Intraday, the chrome ore market continued to hold up well, with quotations edging up. In the spot market, supported by elevated overseas market quotations, market confidence improved and traders’ offers stayed firm. As downstream ferrochrome producers’ production rebounded and raw material consumption increased, there were frequent inquiries and restocking activity recently, and demand gradually recovered. Low-priced chrome ore cargoes have been cleared, and spot supply—especially mainstream lumpy ore—is tight; traders are reluctant to sell. The chrome ore market is expected to remain in a hold-up-well range in the short term. In the futures market, overseas mine quotations stayed firm. Production resumptions of South African ferrochrome increased supply pressure on the ore side; Zimbabwe’s export reviews led to reduced fines. In Turkey, ocean freight rates rose due to geopolitical conflicts, further tightening shipments and pushing up the landed cost of chrome ore.