China’s chrome ore, alloy markets gain on bullish sentiment [CORRECTED]

The prices of UG2 chrome ore, imported charge chrome and domestic spot ferro-chrome in China all moved up in the week to Friday May 15 on bullish sentiment, at a time that supply tightness continued to weigh on the market, sources said.

Fastmarkets’ chrome ore South Africa UG2 concentrates index basis 42%, cif China rose to $155 per tonne on Friday, up by $3 per tonne (2%) from $152 per tonne in the previous assessment.
A number of deals were concluded around the new index levels, both above and below, with offers and some second-hand deals reported between the new index level and up to $160 per tonne, sources said.
Some ferro-chrome producers who mainly rely on long-term contracts are now in a rush to replenish their low stocks after major miners including Glencore and Tharisa declared force majeure due to South Africa’s Covid-19 lockdown, market participants told Fastmarkets.

“Those with low stocks had to accept the higher offers,” a buyer said, adding that the lowered portside stocks and limited availability of new material...

Published

Davide Ghilotti

Siyi Liu

May 19, 2020

05:42 GMT

London, Shanghai