BEIJING (Asian Metal) 28 Jun 19 – Affected by the falling ferrovanadium prices in China, export prices for the material also moved down. Currently, mainstream export prices for Chinese ferrovanadium 80%min are USD38.0-39.0/kg V FOB China, down by USD0.5/kg V from last week but still USD3.0/kg V higher than prices in the international market. As the costs have been higher than the export prices, the export market saw few transactions. Market participants predicted export prices for Chinese ferrovanadium would be weakly stable in the coming week.
A trader in North China noted the offers for ferrovanadium 80%min they received were around USD38.5/kg V FOB China, down by USD0.5/kg V from last week. He said, “We received many procurement enquiries from overseas customers, but we may not conclude orders at the current export price, because even if we sell at our purchase price, which is nearly USD3/kg V higher than the delivered price in the international export market.” He has concluded no deals since early June, and last sold 20t of ferrovanadium 80%min at USD35.5/kg V in late May. In view of the falling ferrovanadium prices in China, he predicted that the export prices would also drop, gradually narrowing the gap between prices in the international market.
With a regular monthly trading volume of 40t for ferrovanadium, the trader sold 20t in May, and concluded no deals in June, holding no stocks now.
Another trader in North China noted the offer for ferrovanadium 80%min he received was USD39.5/kg V FOB China, and the supplier can accept USD39.0/kg V for firm bids, down by USD0.5/kg V from last week. He said, “We received no responses from overseas customers after providing quotations, as our export prices are much higher than the prices in the international market. It is very difficult for us to conclude deals at the current export prices. The target price for our overseas customers is only USD36/kg V FOB China, but no producers in China would accept it.” He has concluded no orders since June, and would refuse prices lower than USD39.0/kg considering the export prices in China are much higher than prices in the international market.
With a regular monthly trading volume of 60t for ferrovanadium, the trader sold 30t in May, and concluded no deals in June, holding 10t of stocks now.
www.asianmetal.com
