Chinese Ferrovanadium Market Sees Soft Demand
BEIJING (Asian Metal) 17 Jan 20 – Currently, mainstream prices for Chinese ferrovanadium 50%min stand at RMB98,000-101,000/t (USD28.4-29.3/kg V) EXW D/A 180 days, the same as this Wednesday. Inquiries are rare to see at the moment as most producers stopped production for the Spring Festival. Insiders believe that prices of Chinese ferrovanadium would keep steady in the coming week.
A trader in South China noted the current price for ferrovanadium 50%min he received stands at RMB98,500/t (USD28.6/kg V) EXW D/A 180 days, unchanged from last week. “Our last deal was made early this month, when we bought 40t at RMB97,000/t (USD28.1/kg V) EXW D/P. Our regular supplier has stopped production for the Spring Festival and it’s hard to make purchase for immediate shipment at the moment,” said the source. Considering the physical distribution would stop in the coming days, he believes that prices of ferrovanadium would keep stable in the coming week.
With a regular trading volume of 50tpm, they sold 600t in 2019, unchanged from 2018. They expect to sell 40t in January, down by 10t from last December, holding no stock now, down by 20t from last month.
A trader in North China quotes their ferrovanadium 50%min at RMB100,000/t (USD29.0/kg V) EXW D/P and they can accept RMB99,000/t (USD28.7/kg V) for firm bids, the same as last week. “We would leave the market for the Spring Festival from this Sunday and we are in no hurry to accept now orders for immediate shipment now as the physical distribution has stopped,” said the source. He added, “I received an inquiry for 10t early last week but the buyer only wanted to buy at no more than RMB97,000/t (USD28.1/kg V).” Their last deal was made two weeks ago, when they sold 15t at RMB99,000/t (USD28.7/kg V). Considering the supply situation in spot market stays loose, he believes that prices of Chinese ferrovanadium would keep steady in the coming week.
With a regular trading volume of 30tpm. they sold 300t in 2019, down by 200t from 2018. They sold 30t in last December and expect 20t in this January, holding 10t of stocks now, down by 20t from last month.
www.asianmetal.com
