GLOBAL VANADIUM WRAP: European market continues upswing, Chinese exports stall
Date: Nov 7, 2018
Chinese export prices for ferro-vanadium and vanadium pentoxide have held steady over the past week due to lackluster activity, with domestic prices remaining more favorable, while the European markets continued to gain strength on increased activity, closing the gap to the Chinese market.
- Chinese export prices stall amid favorable domestic market
- EU FeV prices up slightly on increased consumer activity
- EU V2O5 prices strengthen amid increased liquidity
- US FeV prices firm despite stalled spot market.
China
China’s ferro-vanadium export price remained steady, with few deals reported over the week that ended on Thursday November 1, with favorable domestic prices in the country.
Fastmarkets’ latest price assessment for ferro-vanadium, 78% minimum, fob China, was $130-140 per kg on November 1, unchanged since October 18.
“Our export offer price [for ferro-vanadium] stands at $140-145 per kg, unchanged from last week, and we will not lower our offer price. We know it’s hard for overseas buyers to accept this price, but we have no intention of selling below this level,” a trader said.
“It’s no surprise that traders are not willing to export their material at hand because domestic prices are much more attractive to them,” the trader added.
Meanwhile, the domestic market remained quiet over the week with many market participants watching developments closely because China’s new manufacturing standards for rebar came into effect on November 1.
“The market did not see any big movements this week because both buyers and suppliers were watching the implementation of the new [rebar] policy,” a second trader said.
Some market participants, however, believed that it might take two or even three months to discern the effects of the new policy.
