Buyers have either failed or refused to open LCs to pay for material priced at levels that are no longer representative of the market, several sources told Metal Bulletin.
The renegotiation attempts have been caused by sharp price drops, but are contributing to further price falls by triggering distressed sales, which carry even lower prices, one market source said.
“There are rumours of more rejections on water, so there is no floor price for chrome ore yet,” the source said.
South African UG2 chrome ore
fell to $128-138 per tonne cif China on Friday October 30, down from $138-143 per tonne previously and $154-155 at the start of the year.
Turkish lumpy chrome ore
fell to $180-185 per tonne cif China on Friday, down from $188-193 per tonne previously.
The latest developments in the chrome ore market follow reports of similar...