BEIJING (Asian Metal) 11 Apr 19 – Currently, mainstream prices for Chinese ferrovanadium 50%min are RMB177,000-180,000/t (USD52.7-53.6/kg V) EXW D/A 180 days, down by RMB15,000/t (USD4.5/kg V) from last week. As the demand keeps week, producers have to drop their quotation to promote sales. Insiders believe prices of this material would keep dropping in the coming week.
A producer in Northeast China quotes ferrovanadium 50%min at RMB180,000/t (USD53.6/kg V) EXW D/A 180 days and can sell at RMB179,000/t (USD53.3/kg V) for firm bids, down by RMB16,000/t (USD4.8/kg V) from last week. “We signed long term contract with steel mills and didn’t sell in spot market in the past two weeks. We received the quotation for raw material vanadium pentoxide flake 98%min at RMB175,000/t (USD12.1/lb V) EXW D/P at the moment and our quotation for ferrovanadium is nearly the cost,” said the source. She added, “Inquiries are rare to see at the moment. However, we won’t accept any orders for prices lower than our quotation at the moment. As the demand keeps weak, she believes prices of this material would keep dropping in the coming week.
With an annual production capacity of 1,800t ferrovanadium, they produced100t in March and expect the same volume in April, holding 30t of stock now.
Another producer in Northeast China quotes ferrovanadium 50%min at RMB180,000/t (USD53.6/kg V) EXW D/A 180 days and won’t accept any discount at the moment, down by RMB15,000/t (USD4.5/kg V) from last week. “We bought 100t of raw material vanadium pentoxide flake 98%min at RMB220,000/t (USD15.2/kg V) EXW D/A 180 days about three weeks ago and there are still 60t of stock now. We are operating at a loss now,” said the source. As they need to turnover of capital, so they sell as low as RMB180,000/t (USD53.6/kg V). He added, the current quotation is their bottom. Considering the demand keeps weak, he believes prices of ferrovanadium would keep dropping in the coming week.
With an annual production capacity of 3,600t ferrovanadium, they produced 200t in March and expect the same volume in April, holding 50t of stock now.
http://www.asianmetal.com
