China's EMM Prices Fall to RMB 15,000/mt

SHANGHAI, May 17 (SMM) -- Today mainstream offers of EMM were between RMB 15,000-15,100/mt. China's EMM prices continued to fall due to sluggish demand.

According to SMM sources, the State Development and Reform Commission released a notice on the deadline to cancel the favorable electricity prices for high energy consuming enterprises including aluminum, ferroalloy and calcium carbide enterprises, which helped ease market concern over possible lower electricity prices. However, this news failed to boost EMM market, and prices of EMM still fell slightly under the sluggish market demand. According to a trader from Ningbo, panic selling for various kind of steel increased as steel prices were on downward track recently. The producer thought it would be safer to make purchasers when prices show signs to advance, since stainless steel market was also very sluggish and demand was very weak .

According to SMM sources, costs at EMM producers were still high due to high prices of ore powder, as the tight supply of ore powder hasn't eased yet. However, some producers that  are  under cash flow pressure began to sell products at low prices by virtue of the increased inventories and sluggish buying.

To contact the writer on this report: jianghanmei@smm.cn

 
Copyright © SMM. All Rights Reserved

None of this material may be used for any commercial or public use in any forms or means, without the prior written consent of SMM. For reproduction issue, please contact us by email: service.en@smm.cn