China’s ferro-chrome resumes bullish momentum post-holiday; UG2 chrome ore supported

China’s domestic spot ferro-chrome market resumed its upward momentum after the Lunar New Year holiday (February 11-17), with Inner Mongolia’s tightened restrictions on ferro-alloy production continuing to fuel the bullish sentiment.

Fastmarkets’ assessment of ferro-chrome spot 6-8% C, basis 50% Cr, ddp China rose to 8,600-8,900 yuan ($1,330-1,376) per tonne on Tuesday February 23, up by 100-200 yuan per tonne (1.7%) from 8,400-8,800 yuan per tonne the previous week and to its highest level since May 2017.
Ulanqab Industrial and Information Technology Bureau issued a notice on Tuesday February 23 to ration March electricity usage for heavy energy-consumption companies. The city of Ulanqab is a major ferro-alloy production hub in the autonomous region of Inner Mongolia.
The total March electricity usage by high energy-consuming companies should not exceed 2.9 billion kilowatt-hours (kWh), it said.
This is reduced by 600 million kWh and 900 million kWh from 3.5 billion kWh for February and 3.8 billion kWh for January respectively.

The monthly high-carbon ferro-chrome output...

Published

Jon Stibbs

Siyi Liu

February 24, 2021

12:02 GMT

London, Shanghai