Chinese manganese ore market indicates stable trend

Tuesday, 18 September 2012 16:07:00 (GMT+3)   |  
China's manganese ore market has followed a stable trend during the past week. The mainstream quotations of Australian lump ore with 44 percent Mn content currently stand at $6.25/dmtu at China's Tianjin port, while offers of South African origin lump ore of 44 percent Mn content are at $6.25/dmtu. Also at Tianjin port, quotations for 38 percent grade Mn ore from Australia are in the range of $6.00/dmtu, while offers of South African lump ore of 38 percent Mn content are at $5.92/dmtu.
 
Despite the rebounds seen in the domestic steel market, the Chinese manganese ore market has been moving sideways. The small decreases in Australian miner BHP Billiton's manganese ore quotations for October have had a limited impact on the domestic manganese ore market. Meanwhile, the third round of quantitative easing announced by the US Federal Reserve last week is expected to have a positive effect on the bulk commodity markets. At present, Chinese steel mills have been achieving lower prices for manganese alloys, causing domestic manganese alloy producers to reduce their output volumes. It is thought that the Chinese manganese ore market is unlikely to decline in the short term.

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