BEIJING (Asian Metal) 16 Jan 20 – Currently, mainstream prices for Chinese ferrovanadium 50%min stand at RMB98,000-101,000/t (USD28.4-29.0/kg V) EXW D/A 180 days, unchanged from this Monday. Most producers have stopped production for the coming Spring Festival. At the same time, physical distribution would stop soon, which would limit trading. Insiders believe that the market of ferrovanadium would be quiet in the coming week.
A trader in South China noted the current price for ferrovanadium 50%min he received stands at RMB100,000/t (USD29.0/kg V) EXW D/A 180 days and can buy at RMB98,500/t (USD28.6/kg V) for firm bids, unchanged from last week. “We bought 20t early last week at RMB98,500/t (USD28.6/kg V), which would deliver to us this Wednesday. However, the goods is still on the road now,” said the source. He added, “We must deliver to our steel mill client before the Spring Festival and we won’t accept any orders as the physical distribution would totally stop within this week.” He believe that prices of ferrovanadium would hold stable in the coming week.
With a regular trading volume of 50tpm, they sold 600t in 2019, up by 100t from 2018. They expect to sell 30t in January, down by 20t from last December, holding 10t of stocks now, down by 10t from last month.
A consumer in South China claimed the current prices for ferrovanadium 50%min he received stand at around RMB100,000/t (USD29.0/kg V) EXW D/A 180 days, the same as last week. “Our last deal was made early January, when we bought 30t at RMB100,000/t (USD29.0/kg V) Delivered D/A 180 days. Prices didn’t change during the past two weeks,” said the source. Considering most steel mills have finished their purchase before the Spring Festival, he believes that prices of ferrovanadium would keep steady in the coming week.
With an annual consumption capacity of 400t, they consumed 350t in 2019, down by 50t from 2018. They expect to consume 25t in January, the same as last December, holding 50t of stocks now, up by 30t from last month.
www.asianmetal.com
