[Minor metal] Silicon Prices Down in Domestic Market

SHANGHAI, June 3 (CBI China) -- Domestic silicon metal prices fell again after the holiday, and the price of high-grade silicon experienced significant declines. The traded price of 553# silicon was about RMB 9,000/mt, while the traded price of 2202# has fallen to RMB 10,000/mt.

    A factory in Guangzhou said: “The buying sentiment is very slim. Market insiders were pessimistic over the price outlook as the high-water period is drawing near in June. The latest traded price is only RMB 9,900/mt for 2202# silicon.”

    A factory in Fujian revealed the operating rates at factories in Fujian remained weak, and the factories who planed to restart the production will likely postpone their plans, since the falling price exerted greater pressure on the factories.

    CBI believes the spot supply reported no significant increase in the market. The newly increased capacity is very limited due to cost pressure despite of the approaching high-water period. The weak downstream demand and the pessimistic sentiment of market insiders will exert more pressure on the market.

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