Chinese Ferrovanadium Prices Keep Firm
BEIJING (Asian Metal) 22 Apr 20 – Currently, mainstream prices for Chinese ferrovanadium 50%min stand at RMB96,000-98,000/t (USD27.1-27.6/kg V) delivered D/A 180 days, the same as last week. Consumers only make purchase according to urgent need and the demand stays soft. However, considering the cost keeps firm during the past month, insiders believe that mainstream prices of ferrovanadium would keep firm in the coming week.
A consumer in South China quotes their ferrovanadium 50%min at RMB98,000/t (USD27.6/kg V) EXW D/P and could accept RMB97,000/t (USD27.4/kg V) delivered D/A 180 days for firm bids more than 10t, unchanged from last week. “We only purchase according to orders and it’s easy to find enough goods in spot market now,” said the source. They sold 20t at RMB97,000/t (USD27.4/kg V) delivered D/A 180 days to one of their regular clients two weeks ago. Considering the price for raw material vanadium pentoxide flake didn’t change during the past month, he believes that mainstream prices of ferrovanadium 50%min would stay firm in the coming week.
With a regular trading volume of 30tpm, they sold 330t in 2019. They expect to sell 30t in April, unchanged from March, holding about 10t of regular stocks now, the same as last month.
A trader in North China quotes their ferrovanadium 50%min at RMB98,000/t (USD27.6/kg V) delivered D/A 180 days and would accept a discount for 1,000t (USD0.3/kg) as a discount for firm bids, the same as last week. “We sold 10t at RMB97,000/t (USD27.4/kg V) delivered D/A 180 days early last week and we didn’t change our quotation after that deal,” said the source. He received another inquiry for 10t from the same buyer this week and the buyer only wanted to buy at no more than RMB96,000/t (USD27.1/kg V). He didn’t accept this new order as they could not guarantee their basic profit margin at this price level. He believes that mainstream prices of ferrovanadium 50%min would stay firm in the coming week.
With a regular trading volume of 40tpm, they sold about 360t in 2019 and sold 70t so far this year. They expect to sell 40t in April, the same as March. They have about 10t of stocks now, unchanged from last month.
www.asianmetal.com
