Chinese domestic manganese ore prices have showed a strong rebounding trend during the past week. The mainstream quotations of Australian lump ore with 46 percent Mn content currently stand at $5.71/dmtu (RMB 40/dmtu) at China’s Tianjin port, while offers of lump ore of 48 percent Mn content are at $5.35/dmtu (RMB 37.5/dmtu). Also at Tianjin port, quotations for 44 percent grade Mn ore from Gabon are at $5.21/dmtu (RMB 36.5/dmtu), while offers of South African lump ore of 38 percent Mn content are at $5.28/dmtu (RMB 37/dmtu).
Overall trading activity in the Chinese manganese ore market has improved strongly in the past week and is now at high levels. Overseas suppliers’ quotations are stable, which has given confidence to the domestic market. Traders are trying to hold on to their inventories and wait for higher prices. Since downstream users’ inventories are mostly on the low side, they are now more willing to raise their manganese ore purchase prices. Meanwhile, manganese alloy prices have also followed an upward trend amid the significant increases in the steel futures market and in rebar prices. After the recent large decreases in ore prices, most traders are barely making a profit and so they are waiting for higher prices. As for the week ahead, it is believed that manganese ore prices may again follow an upward trend but the increase margin may be smaller compared to the past week.
$1 = RMB 7.003