[High-carbon ferrochrome] May chrome rates and the expectation of recall

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Since the end of April, after "May 1" rest for the domestic market ferrochrome in May have kept high to settle down trend.
Industry analysis, due early ferrochrome and chrome ore prices rising rapidly. High-grade chrome ore prices was 72-75 yuan per metric ton, is the low-grade 50-55 yuan per metric ton, "May 1" after a long holiday, the focus of chrome ore began significantly increasing, and China's major ports chromium ore to see the inventory, to mid-May, concentrated in the north and the mainly Lianyungang port total chromium ore reached about 45-50 million tons. At this point some foreign sites ore prices started downward, which has the strong pattern of chrome ore market has been noticeably looser, thus delaying the domestic high-carbon ferrochrome prices are rising trend of the mid-May, High-carbon ferrochrome 60 base reached 10,500 yuan a metric ton. Kida 8600-8800 to 50 million metric ton (about 1124-1150 U.S. dollars metric ton) compared to the beginning of the spot market below 7,000 yuan metric ton price increase of 2,000 yuan per metric ton.
However, ferroalloy market will always focus on the country's macroeconomic policy changes and changes in the implementation of differentiated pricing, cancellation of tariff concessions with the policy, some manufacturers ferrochrome price rise as high as 0.2 yuan /, Moreover, chrome ore, coke and transportation costs have always maintained a strong upward trend, the cost of production of raw materials rising fast, further compressing the ferrochrome factory profit margins, especially some of the smaller manufacturers, cost pressures can not continue to maintain normal production, produce manganese alloy, nickel, iron enterprises from time to time there, The shutdown not doing it, and always ferroalloy industry is the country's basic industries, stainless steel production capacity for the expansion of the ferrochrome industry's rapid development, the ferrochrome industry is now their prices are high false hanging, relatively strong, enterprises must continue to produce, and out of profit considerations, ferrochrome current market prices of the enterprises is already insolvent, and the requirements ferrochrome prices for the increasingly high.
Industry insiders believe, to ensure the normal operation of Operation First, reduce production costs, two were up-regulated market quotations. However, these two areas there is a great difficulty in the current high prices of chromium ore, but it was learned today ORBICOM, Port of domestic chrome ore to again raise the Price, the high-grade India reached 78 yuan per metric ton, differentiated pricing is focusing on the implementation, coke and transportation costs remain strong, Therefore ferrochrome lower cost of operation, at least in the near future is very unlikely. Meanwhile, although recently some manufacturers will be high-carbon ferrochrome prices increased by 200 yuan, Some even higher, reaching 8800-9100 yuan per metric ton, but the demand of the market, Currently the domestic demand for ferrochrome and no substantive increase, the market demand for ferrochrome is strong trend of the pulling power. demand is still weak, then the ferrochrome prices raised will lose its dominant market position, although the cost of the support, It can only keep ferrochrome prices living costs fell Buy suspended.
May from the data since, the international market prices of high carbon ferrochrome than China, and has maintained an upward trend. According to the British "metal Herald," released in early May of high-carbon ferrochrome prices in the 0.8-0.85 U.S. dollars / pounds of chromium, by the end of May rose to 1.00-1.05 dollars / pounds of chromium, it is understood, there are still many producers to increase exports to China of ferrochrome volume, and prices lower than the domestic market. A businessmen, international ferrochrome vendors are trying to low-occupied China market.
International Some vendors restrict the exports of chrome ore. hope that the tension in the supply of chrome ore market conditions push up prices further, But in May chromium ore port inventory significantly increased in mid-May at least 50 million tons over last year to a lot more, and the relevant industry sources, tight supply of chrome ore is actually suppliers to further enhance ore prices caused by the reduced output, And now ORBICOM understand that the last week of May, the vendors would reflect their hands inventory has been very little left, plus the recent Indian ore prices to move up again, chromium ore market really take reappearance rising trend? Domestic ferrochrome production enterprises will deal with how such changes in the market? Chromium industry has experienced a series of setbacks in the market, the outlook in the operation of chrome practitioners would still face the difficult challenge of survival.