Chinese Ferrovanadium Prices Edge Down
BEIJING (Asian Metal) 25 Dec 19 – Currently, mainstream prices for Chinese ferrovanadium 50%min stand at RMB98,000-101,000/t (USD28.0-28.8/kg V) EXW D/A 180 days, down by RMB1,000/t from last week. Inquiries from end consumers are rare to see and most suppliers face high pressure to sell their goods. Insiders believe that prices of ferrovanadium would keep weak in the coming week.
A producer in North China quotes their ferrovanadium 50%min at RMB100,000/t (USD28.5/kg V) EXW D/P and can accept RMB99,000/t (USD28.3/kg V) for firm bids, down by RMB1,000/t (USD0.3/kg V) from last week. “We didn’t receive any inquiries during the past week. According to my experience, prices can hardly increase before the Spring Festival,” said the source. Their last deal was made two weeks ago, when they sold 15t at RMB100,000/t (USD28.5/kg V) EXW D/P. He added, “The current price for vanadium pentoxide flake 98%min stands at RMB93,000/t (USD6.15/lb V2O5) EXW D/P, unchanged from last week.” Considering the cost keeps firm, he believes that prices of ferrovanadium would stay steady in the coming week.
With an annual production capacity of 2,000t, they produced 120t in November and expect 90t in December, holding 30t of stocks now.
A trader in South China claimed the current price for ferrovanadium 50%min he received stands at RMB98,000/t (USD28.0/kg V) EXW D/A 180 days, down by RMB2,000/t (USD0.6/kg V) from last week. “None of our steel mill clients make purchase at the moment and we are watching the market now. We won’t build any stock in this period as prices are under great downward pressure,” said the source. Their last deal was made two weeks ago, when they bought 40t at RMB101,000/t (USD28.8/kg V). Considering the demand keeps soft, he believes that prices of ferrovanadium would be weak in the coming week.
With a regular trading volume of 60tpm, they sold 700t in 2018 and have sold 550t so far this year. They expect to sell 40t in December, down by 20t from November, holding no stocks now, reduced by 30t from last month.
www.asianmetal.com
