What will be the three big focuses in the chrome market in 2021?
Respondents from both sides agreed that the planned South African export tax on its chrome ore sector is the top focus for 2021.
“Such a move would in effect pit the monopoly seller of chrome ore - South Africa - against the monopoly buyer - China
,” Cartman said.
Buy-side participants based in China are also greatly interested in the planned launch of ferro-chrome futures in the East Asian country. No definite date has been announced but it could as soon as late this year.
“There will be newcomers in the market once futures go public: futures companies, speculators… This is likely to challenge the pricing system in the industry, which is solely determined by stainless steel mills currently,” a ferro-chrome producer source said.
Chinese stainless steelmakers’ plans to ramp up production are also among the top three focus...