Asia ferrochrome costs under pressure from money devaluations

speciality chemicals list of ferrochrome in Asia are under descending stress because of money devaluations, market sources said Friday.

Platts evaluated the Chinese place import rate of Indian-origin 58-62% high-carbon ferrochrome at 78.5-79 cents/lb CIF China, and South African-origin 48-52% fee chrome at 77-78 cents/lb CIF China Friday, both unchanged from a week back.

There was no offer, offer or proposal reported as Chinese market individuals waited for the Chinese yuan to stabilize versus the US buck.

Purchaser as well as seller sources said some purchasers indicated possible rate of interest at 75 cents/lb CIF for South African cost chrome, yet sellers did not respond.

"The September Chinese stainless steelmaker purchase rates are likely to be lower than August," said a Chinese investor.

Baosteel's August acquisition price went to Yuan 6,300/ mt ($987/mt).

The Platts evaluations are for Indian product of 58-60% chrome, maximum 8% carbon, optimum 5% silicon, maximum 0.04% phosphorous, maximum 0.05% sulfur, lump size 10-150 mm, and also South African product with 48-52% chrome, optimum 9% carbon, maximum 6% silicon, maximum 0.04% phosphorus, optimum 0.05% sulfur, swelling size 10-100 mm.

Both are for a minimum order of 500 mt as well as CIF main Chinese ports.

Platts analyzed place Japanese import price at 79-80 cents/lb CIF Japan Friday, below 81-82 cents/lb CIF Japan recently.

Fine_chemical -user was looking for a number of hundred mt but remained in no rush to get, sources stated.

The firm was listened to looking for 10-50 mm sized lumps with minimal 60% chrome material, optimum 3-4% silicon, around 8% carbon, optimum 0.03-0.04% phosphorous, and also maximum 0.05% sulfur, however Platts can not verify.

Indian producers used 79.5-80 cents/lb CIF Japan, while buy indications were at 79 cents/lb CIF Japan or lower, sources said.

Manufacturers have decreased their rate targets as the Indian rupee had actually weakened versus the United States dollar, producer and also Japanese trade resources claimed.

On the other hand, SUS304 stainless steel scrap prices appeared to be holding steady this week from recently at Yen 138-140 ($1.10-$1.20)/ kg delivered Kanto area, claimed a mill resource.

However some scrap suppliers had put on hold offers on reduced London Metal Exchange nickel prices, he included.