While most industry ferro-titanium suppliers reported fairly stable prices this week, they also said trading activity has been quiet, much like the rest of the current quarter. Steelmakers told Fastmarkets they have little interest in buying ferro-titanium at present, because they have enough supply from longer-term contracts. Steelmakers are also set to shut their production facilities for three weeks as usual in July and August, meaning less demand for ferro-alloys.
Moreover, scrap suppliers reported that the supply of turnings, which come from new aircraft production, has start to increase from the commercial aerospace industry as well from military production.
"Our requirements for ferro-titanium are quite stable and are being covered in long-term delivery contracts," one major European steelmaker said. "We estimate that most consumers in the steel industry are in a similar position and consequently we see [ferro-titanium] market prices dropping amid quiet demand."
"We are not in the market...