[Minor metal] Weak Transactions in Domestic Refined Manganese Market

SHANGHAI, Aug. 27 (SMM) -- Today, mainstream offers were RMB 14,000 for refined manganese. Refined manganese factories reported limited cargo movements and purchasing interest of both downstream steel mills and traders remained low, leaving slim trading sentiment in the market.

    According to SMM survey of almost 20 refined manganese firms in Hunan, Chongqing and Guizhou provinces, total costs for 1mt of refined manganese were RMB 13,500-14,000/mt, while current market traded prices were RMB 14,000/mt, generating a reluctance of most firms.

    A producer in Chongqing said they will not sell goods below costs. Although the demand from steel mills faded recently, and some steel mills even suspended production, they still remained optimistic about price outlook in view of improved macro economic conditions.

    The demand for refined manganese from downstream steel mills reported no significant changes. Both steel mills and traders held limited inventories.

    SMM believes refined manganese prices will likely move upward with decreasing market supply.

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