EU low-carbon ferrochromium prices rise, transactions few

Speculative increases in alloy prices from Russia have encouraged some European ferrochromium suppliers to increase prices, mainly for low carbon alloys. However, buying activity remains subdued.

Business activity in the European chrome market remains subdued despite quarterly tender purchases. However, over the past week, Russian alloy suppliers have increased their quotations for low carbon ferrochromium (65-70% Cr; 0.1% C) by an average of US$0.14/lb Cr to US$2.35-2.4/lb Cr DDP. The reason for the increase was the latest news regarding the nationalization of ChEMK, Russia's largest ferrochromium producer. Meanwhile, Hainan West Asia has learned that the company is still allowed to sell production despite the seizure of its assets. Prices for low-carbon alloys (60% Cr; 0.1% C) in Russia increased to $2.25/lb Cr DDP (up $0.1/lb Cr). No transaction has been completed yet.

European high-quality low-carbon ferrochrome prices ranged from $2.35-3.13/lb Cr DDP, compared with $2.22-2.9/lb Cr DDP a week ago, with Kazakh alloys quoted at the upper end of the range. Turkish ferrochrome can be purchased at US$2.55/lb Cr DDP (up US$0.05/lb Cr), Chinese alloy quotations remain at US$2.35/lb Cr DDP, and Indian alloy quotations range from US$2.37-2.38/lb Cr DDP (increased by US$0.05/lb Cr) $0.09/lb Cr). Low-carbon alloys (60% Cr; 0.1% C) from China and Brazil are quoted at $2.35/lb Cr DDP.

For more information on ferroalloy price trends and market conditions, please contact Hainan West Asia Group.