Japanese Mn Based Ferroalloy Import Price in Surging Trend

Japanese import price of manganese based ferroalloys has surged. The import price of manganese silicon from India has increased by about US$ 200 to US$ 1,450-1,490 per tonne since the beginning of this year, according to Japanese trader source. Manganese ore price and electric power charge are increasing. Speculative demand has also pushed up the market price.

Some of Japanese electric furnace steel makers are trying to revise the import contract terms to 3 months or 6 months from present 1 month in order to secure manganese based ferroalloys stably, said the trader source. The import price is expected to increase more and the supply is likely to tighten.

Japanese manganese silicon import price has surged from CIF US$ 1,290-1,300 per tonne at the beginning of this year. Ferrosilicon import price has upped by US$ 50 to around CIF US$ 1,300 per tonne since the beginning of this year. Ferroalloy market prices are totally strengthening in response to steel makers’ output recovery.

Ore price upsurge is one of the reasons for the market price uptrend. Manganese based ferroalloy producers in China and other countries currently pay maximum US$ 7.5 per unit for spot ore purchase, higher than US$ 6.5 for February shipment. The spot ore price is likely to continue upward when steel production is increasing.

Ferroalloy market prices are expected to keep the strong tone to reflect the increasing demand and surging production costs.