Market Needs Time to Accept Silicon Prices

SHANGHAI, Aug. 16 (SMM) -- China's domestic silicon metal suppliers pushed up silicon metal prices by holding goods tightly, but it still takes time for downstream purchasers to accept the price increase. Growth pace of domestic silicon metal price slowed down on August 16, and overall trading sentiment was moderate. 

According to latest offers at Huangpu ports, prices were between RMB 12,000-12,200/mt for #553 silicon metal, prices were between RMB 12,800-13,000/mt for #441 silicon metal, between RMB 13,500-13,800/mt for #3303 silicon metal and between RMB 14,100-14,300/mt for #2202 silicon metal.

The reasons behind rapid growth of silicon metal prices that just rebound from declining are mainly from sustainable raw material growth as well as order from Ministry of Industry and Information Technology (MIIT) to shut down outdated capacities before the end of September, including some silicon metal producers. Artificial speculation only pushed up silicon metal prices at a very short period. As inventory at most silicon metal producers have already been consumed to meet previous orders demand, producers held goods tightly in recent one or two weeks in order prepare certain stocks.

SMM believes that silicon metal prices may stay stable or growth of silicon metal prices will gradually slow under the context that demand at domestic and overseas market hasn't improved significantly.

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