[SMM Chrome Daily Review] Ferrochrome Prices Temporarily Stable, Ore Side Continues Weak Trend

On April 20, 2026, retail quotations for high-carbon ferrochrome remained unchanged, with Inner Mongolia high-carbon ferrochrome at 8,400-8,550 yuan/mt (50% metal content).

The ferrochrome market operated steadily during the day, awaiting the next round of steel mill tender prices. Chrome ore prices edged down, weakening cost support. Ferrochrome producers lacked confidence, with many offering concessions to facilitate shipments, and retail quotations saw steady pullbacks. Downstream stainless steel market demand showed no significant improvement, and procurement demand for ferrochrome remained sluggish, further suppressing ferrochrome prices. Ex-China ferrochrome production resumptions progressed slowly, and imported ferrochrome stayed at low levels. In March 2026, China's total high-carbon ferrochrome imports were 136,600 mt, basically flat MoM. Overall, the ferrochrome market maintained a tight balance in supply and demand, with prices still facing considerable pressure. The market is expected to continue a generally stable with slight fall trend, awaiting further guidance from steel mill tender prices.

Raw material side, on April 20, 2026, chrome ore spot prices adjusted while futures prices remained firm. At Tianjin port, 40-42% South African fines, 40-42% Turkish lumpy ore, and 48-50% Zimbabwean fines quotations were down 0.5 yuan/mtu from the previous trading day. On the CIF futures front, 40-42% South African fines were quoted flat this week at $318/mt.

At the beginning of the week, the chrome ore market trading atmosphere was mediocre. Ferrochrome producers planned to act after steel mill tender prices were released, and recent inquiry and purchase demand remained subdued. Spot side, chrome ore imports in March 2026 rebounded significantly by 36.42% to 2.4402 million mt, and the issue of structural divergence in port inventory persisted. Fines inventory was at high levels, increasing pressure on suppliers to sell, with willingness to sell at lower prices. Meanwhile, downstream ferrochrome producers mostly adopted a wait-and-see attitude, with a tendency to push for lower prices, resulting in a stalemate between buyers and sellers. Lumpy ore spot supply was tight, and traders maintained firm quotations, but transactions at high prices were difficult, with overall transactions limited. Futures side, the latest quotation from the major ex-China mines for 40-42% South African fines held flat again at $318/mt. Fuel and freight prices were raised, providing notable cost support for ex-China chrome ore. However, during the steel mill tender pricing cycle, domestic producers lacked confidence and made no large-scale stocking or purchase moves, leaving chrome ore transactions limited. The market is expected to continue to fluctuate downward in the near term.