South Korean Ferrovanadium Prices Drop
BEIJING (Asian Metal) 17 Mar 20 – Currently, mainstream prices for South Korean ferrovanadium 80%min stand at USD24.5-25.5/kg V EXW D/P, down by USD1/kg V from last week. Affected by the virus development, inquiries are rare to see in spot market and most suppliers face high sales pressure now. Insiders believe that mainstream prices of South Korean ferrovanadium would keep dropping in the coming week.
A trader in South Korea noted the current price for ferrovanadium 80%min he received stands at USD25.5/kg V EXW D/P and they can buy at USD25/kg V for firm bids, down by USD1/kg V from early last week. “Our regular clients only make purchase according to urgent need and orders from new client are rare to see because of the virus,” said the source. Their last deal was made late last week, when they bought 20t at USD25/kg V. Considering there is no sign of remission in the development of the virus in South Korea, he believes that mainstream prices for South Korean ferrovanadium 80%min would drop to USD24/kg V in the coming week.
With a regular trading volume of 40tpm, they sold 40t in February and expect the same volume in March, holding 20t of stocks now.
A consumer in South Korea claimes the current price for ferrovanadium 80%min in spot market he received stays at USD25.5/kg V EXW D/P and they can buy at USD25.2/kg V for firm bids, down by USD0.8/kg V from early last week. “We buy ferrovanadium from South Korea domestic market by long-term contract. Prices in Spot market stays higher for about USD0.7/kg V at the moment,” said the source. Their last deal was made late last week, when they bought 25t at USD24.5/kg V Delivered D/P. Considering the supply situation keeps loose in South Korea, he believes that mainstream prices of ferrovanadium 80%min would drop by USD0.5/kg V in the coming week.
With an annual consumption capacity of 360t, they consumed 300t in 2019 and have consumed 60t so far this year. They expect to consume 25t in March, unchanged from February, holding 25t of stocks now, the same as last month.
www.asianmetal.com
