China's domestic ferromolybdenum market has surged up over the past week. Due to the influence in Henan Province of government policy aimed at saving energy and reducing emissions and also due to strong purchasing activity by domestic steel mills, ferromolybdenum market prices have climbed up strongly. On the other hand, the domestic ferrovanadium market has continued to follow a weak trend. Domestic offer prices of ferrovanadium have declined slightly in line the decrease in steel mills' purchase prices.
Product name | Specification | Place of origin | Price (RMB/mt) | Weekly change (RMB/mt) | Price ($/mt) | Weekly change ($/mt) |
Ferromolybdenum | Mo60 | Jinzhou | 143,000 | +6,000 | 21,375 | +897 |
Ferrovanadium | V50 | Panzhihua | 97,000 | -1,000 | 14,499 | -149 |
Over the past week China's domestic ferromolybdenum market has maintained its rising trend. The mainstream quotations in the market in Jinzhou are at RMB 142,000-145,000/mt ($21,226-21,674/mt), up RMB 6,000/mt ($897/mt) week on week. Meanwhile, market quotations for domestic origin molybdenum concentrate (45 percent grade) are currently at RMB 2,100-2,150/mtu ($314-321/mtu), up RMB 100/mt ($15/mt) week on week. International ferromolybdenum prices have also moved up, with the current prices of bottled molybdenum oxide at $15.4-15.65/lb and with the European delivery prices of 60 percent Mo at $3.5-40.5/kg Mo.
Over the past week, Chinese ferromolybdenum market prices have continued to rise, increasing by RMB 6,000/mt ($897/mt) on average. Recently, the implementation of measures to save energy and cut emissions in Henan Province have resulted in suspensions of production by local molybdenum concentrate producers, and this has been the main factor behind the recent price increase. Supplies of ferromolybdenum and molybdenum concentrate are currently tight in Henan Province, and so offer price levels are rising continuously. In addition, purchases from steel mills have increased, with domestic steel mills coming to the market to buy in bulk for November production, and this is another factor in the current price increases. Looking at the current situation, China's ferromolybdenum market is likely to maintain its upward trend in the coming period.
Ferrovanadium prices in China have continued to follow their downward trend in the past week. Currently, domestic quotations of ferrovanadium (50 percent) are now in the range of RMB 96,000-98,000/mt ($14,350-14,649/mt), down RMB 2,000/mt ($299/mt) week on week, with prices of vanadium pentoxide (98 percent flakes) standing at RMB 86,000-98,000/mt ($12,855-13,154/mt), down RMB 2,000/mt ($299/mt) week on week. Meanwhile, in Europe, the ferrovanadium market has been more or less stable, but with signs of weakness. Quotations of vanadium pentoxide (98 percent flakes) are at $6.8-7.1/lb, while market quotations of ferrovanadium (V70-80) are at $29.75-31/kg.
Ferrovanadium offers in all regions of China have continued to fall slightly. Purchase prices from the steel mills have declined week on week, contributing to the decrease in market prices registered over the past week. Offer prices from traders and manufacturers also declined. The ferrovanadium market is expected to continue to see a downtrend in the coming period. Prices of vanadium pentoxide have also started to trend downward, with offers declining over the past week due to the reduced number of inquiries.