TELF AG Recaps Week 35: Unveiling Shifting Dynamics in the FeCr Market

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TELF AG has released a concise overview of the Ferrochrome (FeCr) market in a report titled “FeCr Week 35 Market Recap.” This report provides a comprehensive analysis of the evolving pricing dynamics within the FeCr market, focusing on key regions during the 35th week of 2023. The regions covered include China, India, Japan, South Korea, and the European Union.

According to TELF AG’s analysis, China has taken the lead in shaping market dynamics, marked by a noticeable increase in high-carbon (HC) FeCr prices. Several factors, including substantial adjustments in tender prices by major stainless-steel mills for September and limited FeCr availability from India due to rising production costs, have contributed significantly to this shift.

A positive outlook for the FeCr market has been reported by Fastmarkets. This optimism is linked to a surge in stainless steel prices observed in both spot and futures markets. Recognising this trend, stainless steel mills have strategically raised their FeCr purchase prices to capitalise on the expanded profit margins resulting from the early August price increase in stainless steel.

In East Asian markets, both Japan and South Korea have grappled with a substantial increase in FeCr import prices. TELF AG attributes this surge primarily to larger offers from Indian suppliers, driven by economic pressures affecting the FeCr market in India. The resilience of India’s economic stance became evident following the Cr ore auction on August 18, leading to a significant surge in bid values and, subsequently, impacting producer costs.

Conversely, the European Union presents a different narrative. The report notes that low-carbon (LC) FeCr prices in the region have experienced a downward trend, particularly at the lower end of the pricing spectrum. Some sellers, in an effort to remain competitive, have chosen to lower their offering prices in quieter spot markets. However, another segment of sellers perceives current price levels as the floor and is actively exploring opportunities to push for higher prices.

In summary, the FeCr market exhibits distinct fluctuations, with each geographic segment reflecting its unique trajectory. China displays a bullish sentiment, while the European Union takes a more cautious approach. Simultaneously, India’s rising production costs have significant repercussions on markets in Japan and South Korea.

For further details, readers can access the full article at TELF AG FeCr Week 35 Market Recap.

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