Last week market prices of ferromolybdenum in China again soared strongly, by around RMB 27,000/mt, against a background of brisk market demand and are expected to climb up further in the coming period. Meanwhile, the domestic ferrovanadium market has also quickened its upward movement in a context of increased demand.
Product name | Specification | Place of origin | Price (RMB/mt) | Weekly change (RMB/mt) | Price($/mt) |
Ferromolybdenum | Mo60 | Jinzhou | 187,000 | 27,000 | 27,379 |
Ferrovanadium | V50 | Panzhihua | 132,000 | 20,000 | 19,327 |
Over the past week the Chinese ferromolybdenum market registered a strong rise in prices. By the end of last week, the mainstream prices of ferromolybdenum in Jingzhou were up by RMB 27,000/mt ($3,953/mt) to the range of RMB 185,000-190,000/mt ($27,086-27,818/mt), while the market prices of molybdenum concentrate (45 percent) have risen by RMB 350/mt ($51/mt) to RMB 2,650-2,700/mtu ($388-395/mtu). Meanwhile, the European market also continued its upward trend. European market prices of ferromolybdenum (60 percent Mo) are up to $42-43.5/kg Mo, while prices of molybdenum oxide in this market are at $17.7-18.3/lb.
In early August, ferromolybdenum prices in the Chinese domestic market began to speed up their rising movement as a result of the mass purchases made by downstream users. Generally speaking, market demand is expected to maintain its briskness in the near future. On the other hand, given the climbing price levels in the Chinese market, some traders have become more cautious and are willing to sell their products at the current profit margins.
With demand indicating an increase, the Chinese ferrovanadium market has maintained its climbing movement over the past week. Domestic quotations of ferrovanadium (50 percent) have risen RMB 20,000/mt ($2,928/mt) to the range of RMB 130,000-135,000/mt ($19,034-19,766/mt), with vanadium pentoxide (98 percent flakes) up by RMB 15,000/mt ($2,196/mt) to RMB 115,000-120,000/mt ($16,837-17,570/mt). Meanwhile, in the international market, quotations of vanadium pentoxide (98 percent flakes) in Europe are still at $6-7/lb, while market quotations of ferrovanadium (V70-80%) are up by €3/kg to €31.5-33/kg.
Following the large number of inquiries and orders received, many domestic ferrovanadium producers are fully booked for shipments from August to mid-September. Given the active market situation, market players are generally bullish as regards the future trend of the market, and some even anticipate that the market will soon climb to the level of RMB 140,000/mt ($20,498/mt). Meanwhile, market prices of vanadium pentoxide have also been on the rise in recent days. Following the continuous climb in the market, deal prices of vanadium pentoxide (flakes) have reached the level of RMB 115,000/mt ($16,837/mt) on the back of strong demand.