www.ferroalloynet.com: This week, the prices of vanadium products fell to varying degrees. Due to the weak bidding of VN alloy of some steel mills, the purchasing enthusiasm of bulk cargo market is not high. The wait-and-see mood of downstream alloy factories is enhanced, and the trading atmosphere in vanadium market is weak. The sales of largeV2O5 flake plants was not smooth, and the price of bulk cargo was reduced to 101000-101500 yuan/ton in cash with tax, and the price of metallurgical grade ammonium metavanadate was adjusted to 95000-96000 yuan/ton. Ferrovanadium bidding price fell slightly. The inquiry activity of VN alloy is not high, some traders purchase based on their orders, the transaction price is 160000-162000 yuan / ton in cash with tax. Overall, vanadium companies are pessimistic and focus on steel plant’s bidding next week.

1. Summary of Vanadium Bidding in August 2020

Company

Products

Price ( CNY/T)

Quantity ( Ton)

Remarks

Date

A Steel Mill in Shandong

VN16

167500

180

Acceptance with Tax

Aug 3rd

A Steel Mill in Fujian

VN16

165800

80

Cash with Tax

Aug 3rd

Shaoguan Steel

VN16

167200

80

Acceptance with Tax

Aug 4th

Shougang Changzhi

FeV50

107940

10

Acceptance with Tax

Aug 4th

A Steel Mill in Hebei

VN16

167000

80

Acceptance with Tax

Aug 4th

A Steel Mill in Shandong

FeV50

108700

40

Acceptance with Tax

Aug 5th

Nanjing Steel

FeV50

108300

60

Acceptance with Tax, including bidding service fee

Aug 5th

ZENITH

VN16

166500

180

Acceptance with Tax

Aug 6th

JISCO

VN16

167000

90

Acceptance with Tax

Aug 7th

JISCO Yuzhong

VN16

167500

60

Acceptance with Tax

Aug 7th

JISCO

FeV50

109800

30

Acceptance with Tax

Aug 7th

Anhui Changjiang

VN16

166500

110

Acceptance with Tax

Aug 7th

Nanjing Steel

VN16

168500

60

Acceptance with Tax, including bidding service fee

Aug 7th

Shougang Changzhi

FeV50

108950

10

Acceptance with Tax

Aug 10th

Shougang Changzhi

VN16

168450

30

Acceptance with Tax

Aug 10th

Echeng Steel

VN16

168000

20

Acceptance with Tax

Aug 11th

Xiangtan Steel

VN16

168000

30

Acceptance with Tax

Aug 11th

Shaoguan Steel

VN16

167200

80

Acceptance with Tax

Aug 17th

Shaoguan Steel

FeV50

108000

10

Acceptance with Tax

Aug 17th

Benxi Steel

VN16

167500

30

Acceptance with Tax

Aug 20th

Nanjing Steel FeV50 106800 60 Acceptance with Tax, including bidding service fee Aug 25th

2. China vanadium market overview

Ammonium metavanadate market

This week, the price of ammonium metavanadate fell slightly, at the beginning of the week, the downstream alloy plants mainly wait and see, the transaction of metallurgical ammonium metavanadate is not much. With the gradual decline of domestic V2O5 flake price, metallurgical ammonium metavanadate passively followed the drop of 2000 yuan / ton. As of Friday, the intended purchasing price of alloy plant was mostly at 95000-96000 yuan / ton including tax in cash. Chemical grade ammonium metavanadate 98% is relatively stable, and the transaction price this week remains about 98000-99000 yuan / ton including tax in cash, which is stable in the short term.

Vanadium pentoxide market

This week, the price of V2O5 flake dropped from 103000 yuan / ton in cash at the beginning of the week to 101000 yuan / ton. The overall trading atmosphere of the market was weak. On the one hand, because the alloy plants have stocks; on the other hand, this week, the bidding market of VN alloy was not clear, and the manufacturers continued to wait and see, and some manufacturers were more cautious in purchasing. The price of V2O5 flake in bulk market decreased, and the price of large factories kept at 107000 yuan / ton by acceptance(105500 yuan / ton in cash including tax), and the order signing was not smooth.

Ferrovanadium market

This week, the transaction of ferrovanadium continued to be weak. At the beginning of the week, the purchase price of 50 ferrovanadium from Nanjing Iron and Steel Co., Ltd.   is 106800 yuan / ton (including bidding fee), which was 1500 yuan / ton lower than that of the previous bidding. The transaction price is 105000-106000 yuan / ton in cash with tax in bulk market. Most of the ferrovanadium plants have no orders this week and are still out of production.

Vanadium-nitrogen alloy market

This week, VN alloy decreased slightly, and the bidding price was reduced to 163000-165000 yuan/ton by acceptance with tax, 3000-4000 yuan / ton lower than the previous round. The bulk market inquiry is general, some traders reduce the price of purchase, and the transaction price fell to 160000-162000 yuan / ton in cash with tax. On the whole, most manufacturers have a strong wait-and-see mood and pay attention to the bidding prices of several representative steel mills next week.

3. Vanadium worldwide market review

On 26 August, the price of ferrovanadium maintained at 24.8-25.3 USD/KgV, convert into 50# ferrovanadium RMB price was 85,700-87,400 Yuan/ton. The price of European V2O5 was 5.1-5.6 USD/LB V2O5, convert into V2O5 98% RMB price was 76,100-83,600 Yuan/ton; the price of ferrovanadium in United States was 9.8-10.7 USD/LB V, convert into 50# ferrovanadium RMB price was 74,600-81,500 Yuan/ton.

4. Forecast on next week

Next week, the bidding of VN alloy is relatively concentrated, and the bidding price of several representative steel mills is expected to be released one after another, which is also quite instructive for the market, and the attention of upstream and downstream of vanadium market is high. As the consumption of downstream steel mills has decreased recently, and the supply of domestic vanadium pentoxide has increased greatly, the situation of strong supply and weak demand is obvious. In the short term, the vanadium price may be weak with a narrow adjustment.

www.ferroalloynet.com