Production cuts were announced after a meeting held in late December by the Manganese Innovation Alliance, an industry group formed by more of 40 electrolytic manganese producers in China. This group was formed in October 15 to “form an industry coordination operation mechanism, improve product quality and efficiency, and promote the healthy development of the industry,” it said.
Fastmarkets has seen an official document from the alliance, which says that the main producers will suspend production during the first quarter. More than half a dozen market participants, some of them direct customers of Ningxia Tianyuan Manganese Industry Group, the country's largest producer, have also been notified about the production cuts.
The news came after Ningxia Tianyuan said in November that it planned to cut electrolytic manganese flake throughout February and March
The production cuts will remove approximately 140,000 tonnes of electrolytic manganese flake from the market, a source with knowledge...