BEIJING (Asian Metal) 26 May 20 – Currently, mainstream prices of Chinese ferrovanadium 50%min stand at RMB101,000-103,000/t (USD28.3-28.9/kg V) delivered D/A 180 days, the same as last week. As prices of raw material edge up during the past two weeks, few suppliers of ferrovanadium 50%min would like to drop their quotation to promote sales. Insiders believe that mainstream prices of ferrovanadium would stay firm in the coming week.
A producer in North China quotes their ferrovanadium 50%min at RMB104,000/t (USD29.2/kg V) delivered D/A 180 days and could accept RMB103,000/t (USD28.9/kg V) for firm bids more than 20t, the same as last week. “To be frank, we have not closed any deals at the current price level this month. However, we would not accept any orders below our bottom price due to the high cost,” said the source. As prices of vanadium pentoxide flake 98%min stay at a high price level during the past month, they have to buy red vanadium to replace. He believes that mainstream prices of ferrovanadium 50%min would stay firm in the coming week.
With an annual production capacity of 6,000t, they produced about 3,000t in 2019 and about 530t in the first four months this year. They expect to produce about 150t in May, up by 20t from April, holding about 60t of stocks now, unchanged from last month.
Another producer in North China quotes their ferrovanadium 50%min at RMB105,000/t (USD29.4/kg V) delivered D/P and could accept RMB102,000/t (USD28.6/kg V) delivered D/P for firm bids more than 20t, unchanged from last week. “Major producers of vanadium pentoxide flake 98%min refuse to sell at the moment and in order to keep our basic profit, we have to insist on our bottom price,” said the source. Their last deal was made about 10 days ago, when they sold 20t at RMB102,000/t (USD28.6/kg V) delivered D/P. They are watching the market now and refuse to accept any orders below their current quotation. He believes that mainstream prices of ferrovanadium 50%min would stay firm in the coming week.
With an annual production capacity of 3,600t, they produced about 1,150t in 2019 and about 200t so far this year. They expect to produce about 40t in May, unchanged from April, holding about 20t of stocks now, the same as last month.
www.asianmetal.com
