BEIJING (Asian Metal) 15 Aug 19 – Currently, mainstream prices for Chinese ferrovanadium 50%min stand at RMB142,000-145,000/t (USD40.3-41.1/kg V) EXW D/A 180 days, down by RMB10,000/t (USD2.8/kg V) from last week. As few steel mills are bidding during the middle of month and suppliers are in hurry to reduce their stocks, insiders believe prices of ferrovanadium would keep dropping in the coming week.
A producer in Liaoning quotes their ferrovanadium 50%min at RMB148,000/t (USD42.0/kg V) EXW D/A 180 days now and can accept RMB145,000/t (USD41.1/kg V) for firm bids, down by RMB10,000/t (USD2.8/kg V) from last week. “We just sold 10t at RMB145,000/t (USD41.1/kg V) this Wednesday and our last deal was made this Monday, when we sold 15t at RMB148,000/t (USD42.0/kg V),” said the source. He heard some traders are selling raw material vanadium pentoxide 98%min at RMB132,000/t (USD8.7/lb V2O5) EXW D/P, down by RMB10,000/t (USD0.7/lb V2O5) from last week. Considering the cost drop quickly, he believes prices of ferrovanadium 50%min would drop by RMB3,000/t (USD0.9/kg V) in the coming week.
With an annual production capacity of 3,600t for ferrovanadium, the company expects to produce 160t in August, down by 20t from July, holding 30t of stocks now.
A producer in Jiangxi claimed their lowest quotation for ferrovanadium 50%min stand at RMB145,000/t (USD41.1/kg V) EXW D/P now. “Our last deal was made this Tuesday, when we sold 20t at RMB145,000/t (USD41.1/kg V) EXW D/A, down by RMB8,000/t (USD2.3/kg V) from last week ,” said the source. He added, “None of our steel mill clients has plan to make purchase now, we will reduce 25% production this month.” Considering inquiries are hard to see, he believes prices of ferrovanadium 50%min would drop to RMB140,000/t (USD39.7/kg V) EXW D/P in the coming week.
With an annual production capacity of 2,400t for ferrovanadium, they produced 180t in July and expect 135t in August, holding about 50t for inventory now.
www.asianmetal.com
