Japan Mn Based Ferroalloy Import Price in Uptrend

Japanese import price of manganese based ferroalloy is edging upward, according to Japanese large dealer. Indian silicomanganese suppliers are offering CIF US$ 1,600-1,650 per tonne (150,400-155,100 yen per tonne), surging by US$ 50 for recent 3 weeks. Manganese based ferroalloy price is expected to keep upward when the demand is increasing in China and manganese ore price stays at the high level. The price may jump largely since the price up range has been narrower than other raw steel materials so far.

Silicomanganese price was US$ 1,300 per tonne at the beginning of this year while reached US$ 1,500-1,550 in February-March and continues rising in recent days. Chinese market price has hit US$ 1,650-1,700. The price is also rising in India, Vietnam and Indonesia.

Manganese ore price increased by 5% to US$ 7.85 per tonne of 1% manganese per 1-tonne 44% purity ore shipped for China in May. The price is a half level compared with the high price in 2008 but increased by 2.2 times from the bottom in July-September 2009. Ore price is also expected to rise when manganese consumption is expanding for Chinese crud steels.

Japanese users such as electric furnace steel makers have already secured manganese based ferroalloy before the price upsurge. However, steel productions are rapidly recovering and steel makers may have to purchase additional alloys.