BEIJING (Asian Metal) 11 Mar 20 – Currently, mainstream prices for Chinese ferrovanadium 50%min stand at RMB97,000-100,000/t (USD27.9-28.8/kg V) EXW D/P, unchanged from last week. Few steel mills are making purchase now and the demand stays soft. Insiders believe that the market of Chinese ferrovanadium would stay 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 (USD28.8/kg V) EXW D/P and they can buy at RMB98,000/t (USD28.2/kg V) for firm bids, unchanged from last week. “Our clients are mainly in Japan and South Korea and we buy from China. Our last deal was made late last week, when we bought 15t at RMB98,000/t (USD28.2/kg V),” said the source. He added, “I noted most producers in China are out of production now for lack of orders.” Considering the supply situation keeps loose, he believes that prices of Chinese ferrovanadium would stay weak in the coming week.
With a regular trading volume of 40tpm, they plan to sell 40t in March, up by 10t from Ferbuary. They only buy according to orders, holding no stocks now.
Another trader in South China claimed the current price for ferrovanadium 50%min he received stands at RMB101,000/t (USD29.0/kg V) EXW D/A 180 days and they can buy at RMB97,000/t (USD27.9/kg V) for firm bids, the same as last week. “We are in no hurry to build stocks now as few steel mills would like to make purchase. Our target price for ferrovanadium 50%min stands at RMB95,000/t (USD27.3/kg V) EXW D/P,” said the source. Their last deal was made two weeks ago, when they bought 30t at RMB100,000/t (USD28.8/kg V) Delivered D/P. He added, “I heard prices of vanadium pentoxide flake 98%min drop to RMB92,000/t (USD6.1/lb V2O5) EXW D/P now, down by RMB2,000/t (USD0.1/lb V2O5) from last week.” Considering the cost dropped, he believes that prices of Chinese ferrovanadium 50%min would stay weak in the coming week.
With a regular trading volume of 50t, tey sold 600t in 2019 and have sold 80t so far this year. They expect to sell 30t in March, unchanged from last month, holding 20t of stocks now, down by 10t from last month.
www.asianmetal.com
