Recently, as China’s Spring Festival approaches, Silicon Metal Price 2024 January have been relatively deserted in market. The high quotations of some models have basically disappeared. Some traders have stopped purchasing, and domestic users have basically completed stocking up. At present, there are only scattered supplementary orders in the market before the Spring Festival. It is difficult for the market price to change significantly.
Recently, silicon metal factories have different willings about sales. Those silicon manufacturers who are in lack of capital or have low procution cost tend to clear up their inventory. This is also because the low procution cost bings profit to them, though the profit is quite small. Those who were with high production cost or abundance of capital do not have willing to sell.
China Silicon Metal Prices
In addition, in terms of cost, petroleum coke is relatively stable. The price of coal used to refine silicon metal fell slightly. Other costs remain unchanged. The production situation of Silicon metal manufacturer is as follows: In the southern market, the start-up in Sichuan and Yunnan areas is at a low level, and there is not much change during the dry season. Construction starts in Chongqing and Fujian are basically stable, but if prices continue to decline, factories also have plans to reduce production.
Currently, there is only one company in production in Hunan, and it cannot sustain it for a long time. In the northern market: the construction start-up in northern Shaanxi is basically stable. The suspension of production in the Yidong Industrial Park in Xinjiang, coupled with rising electricity prices and other issues, will make it impossible to resume work in the short term. The actual market is going down. Silicon metal 553 price has dropped by about 100 yuan per ton. Silicon 441 prices also fell by US$20 per ton.
The situation downstream of the market is also complex Silicon Metal Price 2024 January. The demand for silicon metal in the European market remains sluggish. The price of Silicon 553 in the European market hovers at 2,400-2,500 euros per ton. This price includes shipping. In other words, the price of CIF European basic ports is even lower. However, the current spot supply is relatively tight, which may cause silicon metal prices to rise in the European market next week.
The situation in the Japanese market is similar. However, Japan is close to China, and the market trend follows Chinese prices, leaving no room for growth. How will the prices go, we still have to expect to the reaction of next week.