Ferbasa's 2024 Ferro-Alloy Output Falls Amid Weak Global Steel Demand

Ferbasa

Brazilian producer faces falling prices, lower domestic sales, and volatile quarterly output across chromium and silicon alloys.

Ferbasa, Brazil’s leading ferro-alloy producer, reported a 1.5% year-on-year decline in total ferro-alloy production for 2024, falling to 301,208 tonnes, driven by a broader slowdown in global steel production and weak domestic demand. The company supplies various ferro-alloys including high- and low-carbon ferro-chrome, ferro-silicon, and ferro-silicon chromium to the steel industry.

While silicon alloy production rose 6% for the year to 99,836 tonnes, chromium alloy output declined slightly by 0.5% to 201,372 tonnes. However, Q4 chromium output fell 3.6% year-on-year to 51,513 tonnes, dragging total output lower for the quarter.

Quarterly Swings and Domestic Market Weakness Pressure Performance

Ferbasa saw Q4 silicon alloy production grow 9.7% year-on-year, but it dropped 21.3% compared to Q3, indicating quarterly volatility. A 6.2% increase in Q4 chromium production helped offset the silicon alloy decline.

Total ferro-alloy sales in 2024 declined 1.8% to 268,623 tonnes, with domestic sales down 8.3%, affected by rising steel imports that undercut local steel output. A 5.3% increase in exports, led by a 12.5% rise in chrome alloy exports, offered partial relief. Silicon alloy exports remained flat year-on-year.

Ferro-Alloy Prices Decline, Revenue Drops 8.1%

Despite stable export volumes, Ferbasa’s net revenue fell 8.1%, due mainly to a 7.6% drop in ferro-alloy segment revenue. This was driven by an 11.6% fall in average dollar prices for ferro-alloys.

The company blamed the pricing pressure on reduced stainless steel production in China, subdued global economic activity, and ongoing U.S. anti-dumping investigations that caused market caution around silicon alloy pricing.

Ferbasa remains exposed to volatile pricing cycles, international trade tensions, and macroeconomic headwinds, which may continue to pressure Brazil’s ferro-alloy sector in 2025.

HBIS Silico-Manganese Tender Prices Fall as China Steel Demand Weakens

Silico-Manganese

HBIS silico-manganese tender prices fell in April as weaker steel demand and higher spot alloy availability pressured China’s bulk alloy market. Hebei Iron and Steel cut its tender price for 65/17 grade silico-manganese to 6,300 yuan/t delivered and paid by acceptance bill.

The latest HBIS silico-manganese tender prices were down by 250 yuan/t from the previous tender. The state-owned steel producer increased April purchase volumes to 8,500t, up by 3,400t from its previous buying round.

HBIS silico-manganese tender prices are closely watched because they help set the tone for China’s manganese alloy market. The lower tender confirms that steel mills are using weak downstream demand and larger spot availability to push procurement costs lower.

The cut also reflects pressure from rising steel inventories. China Iron and Steel Association members held 18.63mn t of steel inventories as of 20 April, up 6.4% from early April and 12% from a year earlier.

Oversupply Weighs on Alloy Prices Despite Higher Tender Volumes

China’s domestic 65/17 silico-manganese alloy prices fell to 6,000-6,150 yuan/t ex-works on 23 April. This was down from 6,100-6,300 yuan/t on 9 April.

The price decline reflects continued oversupply in the market. Higher inventory pressure has limited the ability of alloy producers to defend prices, even when some steel demand shows signs of recovery.

HBIS’ higher purchase volumes gave the market some support, but not enough to reverse price direction. Buyers remain cautious because steel inventories are still elevated and construction demand has not yet fully recovered.

Some market participants are more optimistic about the steel outlook. Construction and infrastructure demand are expected to resume gradually, while domestic and seaborne steel demand improved in mid-April.

Chinese steel mills also lifted production slightly during that period. If steel output continues to rise, silico-manganese consumption could improve because the alloy is widely used in steel deoxidation and strengthening.

However, the recovery remains uneven. The higher HBIS buying volume suggests some restocking need, but the lower price shows that mills still hold negotiating power.

Ore Costs and Output Curbs Limit Downside Pressure

Many silico-manganese plants kept firm offers despite weaker spot prices. Higher manganese ore feedstock costs continue to support producer cost floors.

Output curbs at several large alloy producers in north China also helped limit deeper declines. Reduced production can help balance supply if demand recovers, but current inventory pressure remains the larger problem.

The market is therefore caught between two opposing forces. Weak steel demand and alloy oversupply are pushing prices lower, while ore costs and production curbs are preventing a sharper collapse.

This tension is typical of bulk alloy markets. Producers cannot easily cut prices below cost for long, but buyers can delay purchases when inventories are high and demand is uncertain.

For steelmakers, lower silico-manganese tender prices provide some cost relief. For alloy producers, the main challenge is preserving margins while feedstock prices remain firm.

The next market signal will come from whether steel demand improves enough to absorb alloy inventories. Without clearer consumption growth, manganese alloy prices may remain under pressure even if ore costs stay elevated.

The Metalnomist Commentary

HBIS’ tender cut shows that China’s silico-manganese market is still demand-led, despite higher ore costs. A real recovery will require stronger steel consumption and inventory drawdowns, not only higher tender volumes.

Heavy rare earth free NdFeB alloy from VAC targets China-independent magnet supply

Vacuumschmelze

Heavy rare earth free NdFeB alloy from VAC marks a major shift in Western magnet strategy. German producer Vacuumschmelze has launched VACODYM 902 TP, a neodymium-iron-boron grade that avoids dysprosium and terbium. As a result, the heavy rare earth free NdFeB alloy offers high performance while reducing exposure to increasingly volatile heavy rare earth markets.

VACODYM 902 TP extends VAC’s family of reduced-HRE NdFeB grades. The new heavy rare earth free NdFeB alloy achieves a remanence of at least 1.40 Tesla and a coercivity of at least 1,190 kA/m. These metrics place it firmly in the high-performance segment for traction motors and industrial drives. Therefore, OEMs gain an alternative to conventional NdFeB magnets that rely on dysprosium and terbium to maintain coercivity at elevated temperatures.

Western buyers have sought heavy rare earth free NdFeB alloy solutions for several years. Dysprosium and terbium production still concentrates overwhelmingly in China, which creates structural supply risk. Meanwhile, policymakers and OEMs push for magnet designs that reduce heavy rare earth intensity without sacrificing performance. VAC’s new grade directly responds to this pressure and is fully produced within Western supply chains.

Export controls and price spikes intensify heavy rare earth risk

China’s export controls on certain rare earths have tightened heavy rare earth availability for Atlantic buyers since April. Spot prices for dysprosium and terbium outside China surged immediately after the controls. European terbium oxide prices rose by 268pc between 1 April and early September, reaching $3,300-3,800/kg cif Europe. As a result, magnet makers now face severe raw material cost volatility and procurement uncertainty.

This environment accelerates the search for alternatives to heavy rare earth dependent NdFeB grades. VAC explicitly cites volatile raw material costs and market uncertainty as major supply chain challenges. Therefore, its new alloy is positioned as a “geopolitically independent alternative” to traditional heavy rare earth based solutions. The goal is clear: decouple magnet performance from a small, politically sensitive set of Chinese-controlled metals.

Other Western players are also moving to build ex-China heavy rare earth capacity. Lynas has started small-scale dysprosium and terbium oxide production in Malaysia. US producer Energy Fuels has produced pilot-scale dysprosium and plans larger-scale dysprosium and terbium output in Utah by late 2026. MP Materials supplies a heavy rare earth concentrate, SEG+, containing dysprosium and terbium for downstream processors.

Western magnet supply chains pivot toward diversified feedstocks

VAC’s launch of a heavy rare earth free NdFeB alloy fits a broader diversification trend. Western magnet producers and their customers want designs that either use fewer heavy rare earths or none at all. This shift complements efforts to develop new mining, separation and recycling capacity outside China. It also supports OEM strategies to meet ESG targets and reduce geopolitical risk in EV and wind supply chains.

VAC emphasises the importance of resilient, regionally anchored magnet value chains. Its new alloy, fully produced in the West, supports that objective. However, performance in real-world motor and generator platforms will ultimately determine adoption. Automotive and industrial customers will test VACODYM 902 TP against existing HRE-containing grades on efficiency, temperature stability and cost.

If performance proves comparable, heavy rare earth free NdFeB alloy families could gain rapid traction. That would gradually reduce Western dependence on Chinese dysprosium and terbium, even as new ex-China projects ramp up. In parallel, recycling and alternative motor topologies may further ease heavy rare earth demand over the next decade.

The Metalnomist Commentary

VAC’s move shows how magnet technology, not only mining, will shape the next phase of the rare earth race. A commercially viable heavy rare earth free NdFeB alloy gives Western OEMs a real lever to hedge against Chinese export controls and price spikes. Market participants should watch qualification timelines closely, because large-scale adoption could materially shift dysprosium and terbium demand forecasts.

South32 Manganese Ore Export Prices Fall as China Demand Weakens

South32 Manganese Ore

South32 manganese ore export prices to China have fallen for June shipments as weak alloy demand, ample port inventories and cautious buying pressure the import market. The Australian diversified metals producer lowered offers for both Australian and South African manganese ore, according to Chinese importers.

South32 manganese ore export prices for Australian 42% lumpy ore fell to $5.40/mtu cif China for June delivery. This was down by $0.50/mtu from May.

South32 also reduced its offer for South African 37% manganese ore to $5/mtu cif China. This was down by $0.40/mtu from the previous month.

South32 manganese ore export prices are an important signal for the wider manganese chain because China remains the largest global buyer of seaborne ore. When Chinese alloy plants slow purchases, overseas miners often need to adjust export offers to maintain sales momentum.

Chinese Alloy Weakness Cuts Restocking Appetite

Chinese importers have shown limited interest in restocking manganese ore because inventories remain sufficient and alloy prices are weakening. This has reduced spot buying urgency before the Labour Day holiday on 1-5 May.

Many alloy plants postponed ore feedstock purchases while waiting for clearer market direction after the holiday. This cautious behaviour has weakened the negotiating position of overseas ore suppliers.

The pressure is also visible in Chinese port prices. Australian 44-46% lumpy manganese ore fell to 43-47 yuan/mtu delivery ex quay on 28 April, down from 47-50 yuan/mtu on 31 March.

The decline shows that domestic buyers are not only resisting new import offers. They are also repricing available port material lower as downstream demand fails to improve.

Manganese ore demand is closely linked to ferro-manganese and silico-manganese production. These alloys are used in steelmaking, where manganese improves strength, deoxidation and performance.

When steel consumption slows, alloy plants reduce purchasing activity. This immediately affects ore demand because manganese alloy producers are the main consumers of imported ore.

Steel Demand Remains the Main Constraint

The deeper issue is weak steel demand in China. Slower economic growth and subdued construction activity have limited recovery in steel consumption, leaving alloy producers cautious about raw material buying.

Without a stronger steel recovery, manganese alloy prices are likely to remain under pressure. This limits the ability of alloy plants to pay higher ore prices, even when miners try to defend margins.

South32’s price cut also reflects wider seaborne competition. Mining firms outside China need to respond when Chinese buyers have enough stock and are unwilling to chase cargoes.

Australian high-grade lumpy ore usually commands stronger interest because of its quality and processing value. However, even higher-grade material can weaken when alloy margins are poor and port inventories are sufficient.

South African ore also remains exposed to Chinese demand swings. Lower-grade material can face sharper price pressure when buyers reduce procurement and focus only on immediate needs.

For the manganese market, the June price cut suggests that miners are prioritising volume discipline and customer access over holding elevated offers. The next price direction will depend on whether Chinese alloy plants return after the holiday with real restocking demand.

If steel demand remains weak, manganese ore prices could face further downside pressure. If alloy prices stabilise and inventories fall, importers may resume buying, but recovery is likely to be gradual.

The Metalnomist Commentary

South32’s price cut shows that the manganese market is being driven by demand absorption, not supply shortage. Until Chinese steel and alloy demand improves, seaborne manganese ore suppliers will remain exposed to cautious restocking and lower port prices.

China's Vanadium Producers Evaluate Implications of New Rebar Standard

Chinese vanadium market participants have articulated a range of perspectives concerning the potential implications of a newly-approved mandatory standard for steel reinforcement bar (rebar), a principal downstream product. On June 25, China's State Administration for Market Regulation and Standardization Administration sanctioned the mandatory standard GB 1499.2 for steel rebar, slated to become effective on September 25. This standard was initially promulgated in 2018 as a recommended guideline.

The revised regulation stipulates that producers of rebar with vanadium content below the mandated threshold must augment their vanadium usage to comply with the standard. A 2023 survey by China's Central Iron and Steel Research Institute (CISRI) indicates that the production of non-compliant steel rebar accounts for approximately 23% of the total output.

This standard also includes the higher grade HRB600 rebar, which is anticipated to necessitate 4-5 times the vanadium content compared to HRB400, notwithstanding China's predominant production of HRB400E.

A vanadium alloy producer based in Chengde has minimized the potential for substantial demand growth following the implementation of the new standard, citing the increased adoption of alternative materials by numerous steel mills, such as high phosphate ferro-niobium, vanadium-containing pig iron, and ferro-titanium.

An executive from a leading producer in Sichuan province foresees that enhancements in the steel industry will eventually elevate vanadium demand, albeit not significantly. The rationale is that incorporating more vanadium into steel enhances its strength, thereby reducing the overall quantity of steel required in construction and, consequently, the consumption of steel rebar. Industry estimates suggest that the average vanadium consumption per tonne is 0.3 kg for HRB400 and 0.6 kg for HRB500.

In contrast, a vanadium alloy smelter in Shaanxi is optimistic about the new standard driving short-term demand growth. The smelter anticipates that prices will escalate in July as some steel mills may increase their purchases in response to the new standard. This smelter had suspended production in mid-June due to narrowing profit margins.

A source from a Chengdu-based alloy producer predicts that the vanadium market will experience a downturn during July and August due to diminished demand from the steel industry. However, the demand for vanadium is expected to recover in September with the enforcement of the new standard.

Steel mills reduced their production in mid-June due to depressed prices resulting from sluggish purchasing activity and a pessimistic demand outlook for the summer, as high temperatures and increased rainfall have impeded outdoor activities.

Meanwhile, most other market participants are adopting a wait-and-see approach as they assess the ramifications of the new rebar standard.

Assmang Cato Ridge FeMn smelter closure reshapes South Africa’s manganese alloys

US Brimstone

The Cato Ridge FeMn smelter closure marks Assmang’s permanent exit from ferro-manganese production. ARM is restructuring its manganese alloy portfolio after heavy losses. Assmang will shut the Cato Ridge Works following a Section 189 process. All employees will be retrenched by 31 August.

Restructuring details and asset sales

Assmang will sell Cato Ridge properties to Assore for R453mn. It will also sell its Sakura Ferroalloys stake to Assore. Once closed, Assmang will distribute R900mn to ARM. Therefore, ARM crystallizes value while exiting loss-making alloy exposure.

Market implications for South African manganese

The Cato Ridge FeMn smelter closure reflects South Africa’s escalating cost pressures. High power tariffs and logistics constraints erode alloy competitiveness. As a result, selling manganese ore increasingly outperforms alloy conversion. The closure leaves one remaining manganese alloy producer in South Africa.

Downstream users should prepare for tighter high-carbon FeMn availability from South Africa. However, global supply remains supported by Asia and the CIS. Contract buyers may seek diversified sources or renegotiate premiums. Meanwhile, the Cato Ridge FeMn smelter closure may shift trade flows.

The Metalnomist Commentary

This shutdown ends a chapter in South Africa’s alloy beneficiation and concentrates risk in one producer. Watch Eskom tariffs, rail reliability, and Asian alloy capacity for the next price signal. Offtake renegotiations and premium adjustments are likely through year-end.

EU ferro-alloy safeguards: Ferroglobe braces for trade decision amid market strain

Ferroglobe

EU ferro-alloy safeguards could reshape pricing in 2026

Ferroglobe signaled that EU ferro-alloy safeguards remain preliminary but pivotal. The firm expects EU ferro-alloy safeguards to curb import-driven price pressure in 2026. However, visibility is limited as Brussels prepares August prelims and a November final decision.

Mixed quarter highlights shifting product strategy

Quarterly results showed uneven momentum across products and regions. Ferroglobe’s silicon-based alloy shipments rose 13pc to 53,048t. The company switched two silicon metal furnaces to ferro-silicon to meet demand and cut costs. Meanwhile, silicon metal shipments fell 29pc to 44,610t.

European silicon prices weakened on cheaper Chinese imports, eroding producer share. EU silicon metal producer share slid from ~40pc to ~15pc. Curtailments hit Iceland and Germany as margins compressed. According to market logistics sources, MIPs may cover several ferro-alloys, but not silicon metal. Therefore, exposure to silicon metal remains a risk.

The US offered a firmer backdrop for trade defense. US AD/CVD actions on ferro-silicon supported prices and volumes. The firm awaits US rulings on silicon metal from five countries later this year. As a result, North America could offset some EU pressure if duties land.

Financials reflected the difficult macro and price environment. Sales slipped 14pc year on year to $386.9mn. Adjusted ebitda came in at $21.6mn, and first-half earnings posted a $5.2mn loss. Management withdrew full-year ebitda guidance, citing uncertainty and low visibility.

EU ferro-alloy safeguards will shape capital and production plans. Preliminary measures are due 18–19 August, with a final call on 20 November. Ferroglobe, led by CEO Marco Levi, still advocates safeguards across its full portfolio. Meanwhile, the firm rebalances output toward alloys with stronger pricing.

The Metalnomist Commentary

If MIPs exclude silicon metal, EU ferro-alloy safeguards may only partially stabilize Ferroglobe’s mix. Watch furnace allocations, cash costs, and US duty outcomes for margin relief. A broad EU remedy would tighten imports and lift realized prices into 2026.

Yongshan Lithium Molybdenum Output Falls as Concentrate Supply Tightens

Yongshan Lithium

Yongshan Lithium molybdenum output declined in 2025 as tight molybdenum concentrate supply reduced production of ferro-molybdenum alloy and roasted concentrate. The Jilin-based metals producer reported lower output and sales across its molybdenum business.

Yongshan Lithium molybdenum output fell despite firmer molybdenum prices and continued demand from high-quality special steel. Feedstock availability became the main constraint, limiting the company’s ability to maintain production volumes.

Yongshan Lithium molybdenum output reflects a wider pressure point in China’s molybdenum market. Alloy producers need concentrate feedstock, but tight supply and higher unroasted concentrate prices increased procurement pressure during the year.

The company, also known as Jixiang Molybdenum or New China Dragon Molybdenum, produced 17,631t of ferro-molybdenum alloy in 2025, down 22% from a year earlier. Sales fell by 23% to 18,018t.

Concentrate Tightness Hits Ferro-Molybdenum Production

Yongshan’s ferro-molybdenum alloy production was directly affected by constrained concentrate supply. The company purchased concentrate and alloy from other plants during the year to support regular production and sales.

This shows how dependent ferro-molybdenum producers remain on reliable upstream feedstock. Even when downstream demand is firm, alloy plants cannot maintain output without stable concentrate availability.

Roasted molybdenum concentrate output fell more sharply. Yongshan produced 29,679t in 2025, down 34% from a year earlier, because unroasted concentrate feedstock prices trended higher.

Sales of roasted concentrate dropped by 55% to 6,894t. The steep fall suggests that more material was needed internally or that market conditions made external sales less attractive.

Molybdenum concentrate is the key input for ferro-molybdenum, which is used in special steel, stainless steel, energy equipment, chemical processing, aerospace and defence-related applications. Tight concentrate supply therefore affects the entire alloy value chain.

Higher Prices Support Market but Not Volumes

China’s ferro-molybdenum market remained supported by tight feedstock and stronger consumption from high-quality special steel producers. Average domestic prices for 60% ferro-molybdenum alloy rose by 5.2% in 2025 to 246,307 yuan/t ex-works.

Roasted concentrate prices also increased. Average prices for 57% grade roasted concentrate rose by 6.1% year on year to 3,939 yuan/mtu.

The price gains show that molybdenum demand remained resilient in higher-value steel applications. However, Yongshan’s results also show that higher prices do not automatically translate into higher output when feedstock supply is constrained.

The company plans to optimise its molybdenum product structure in 2026. It aims to phase out low-margin and low-value-added products while advancing energy-saving and cost-reduction initiatives.

This is a logical response to a tighter raw material environment. When concentrate is expensive and difficult to secure, producers must prioritise higher-margin products and improve operating efficiency.

Yongshan formally changed its name from Jixiang Molybdenum in July 2024, reflecting a stronger focus on the lithium industry. Even so, molybdenum remains an important part of its industrial metals base.

The Metalnomist Commentary

Yongshan’s weaker molybdenum output shows that China’s alloy chain is being constrained upstream, not only by end-use demand. In a tight concentrate market, the competitive advantage will shift toward producers with secure feedstock, higher-value alloy products and stronger cost control.

Ferbasa Ferro-Alloys Q1 Results Show Domestic Strength Amid Export Challenges

Ferbasa

Brazilian ferro-alloy producer Ferbasa delivered mixed Q1 results with domestic ferro-alloys sales surging 30% while export volumes declined significantly. The company's performance reflects broader industry challenges including US anti-dumping measures and global protective tariffs affecting ferro-silicon markets.

Domestic Market Recovery Drives Growth

Ferbasa ferro-alloys total sales increased 10.2% year-on-year to 69,563 tonnes in Q1. The growth was primarily driven by robust domestic demand as Brazil's steel sector engaged in restocking activities. Domestic sales reached 38,682 tonnes, representing a substantial 30% increase compared to the previous year.

However, export performance presented a contrasting picture. Export sales dropped 7.3% annually to 30,851 tonnes and fell 20.5% quarter-on-quarter. The company attributed this decline to tariff pressures, market uncertainty, and persistent logistical challenges affecting international shipments.

Production Costs and Market Pressures Impact Operations

Despite increased sales volumes, Ferbasa ferro-alloys production decreased 1.3% year-on-year to 75,821 tonnes. Chromium alloy production fell 1.8% to 50,372 tonnes, while silicon alloy output declined 0.2% annually to 25,491 tonnes. Nevertheless, silicon alloy production showed quarterly improvement with a 20% increase.

Meanwhile, the company faced mounting cost pressures. Production costs rose significantly during the quarter, with electricity and chrome ore representing the primary cost drivers. These increases highlight the ongoing challenges facing ferro-alloy producers in managing input costs while maintaining competitive pricing.

Global Trade Tensions Create Market Uncertainty

The ferro-silicon market faces heightened uncertainty due to escalating trade protection measures. US anti-dumping actions and protective tariffs worldwide have created challenging conditions for exporters. As a result, market participants remain cautious about international trade prospects.

Therefore, Ferbasa's strategy of strengthening domestic market position appears well-timed. The company generated R$549 million ($97.62 million) in Q1 revenue, up 7.9% year-on-year, supported by higher ferro-alloy revenues and favorable USD-BRL exchange rates.

The Metalnomist Commentary

Ferbasa's Q1 results exemplify the current ferro-alloy industry dynamics where domestic market strength compensates for challenging export conditions. The company's ability to capitalize on Brazilian steel sector restocking while navigating global trade tensions demonstrates strategic market positioning in an increasingly protectionist environment.

Ferroglobe’s FY24 Earnings Plunge Over 50% Amid Silicon Alloy Price Decline

Ferroglobe's

Rising Manganese Sales Fail to Offset Silicon Alloy Slump

US-EU Trade Measures Offer Hope Against Import Pressure

Ferroglobe, the Spanish-based ferro-alloy and silicon producer, reported a 51.2% drop in adjusted EBITDA to $153.8 million for full-year 2024. The sharp earnings contraction was driven by falling silicon alloy prices and sluggish demand in key end-use sectors, particularly in Europe and the US.

Silicon Alloy Weakness Overshadows Shipment Gains

While silicon metal shipments rose 14.6% year-on-year to 222,762 tonnes, average sales prices dropped by 12.2% to $3,262/t. In the fourth quarter, shipments fell 12.5% quarter-on-quarter, with weak demand in EMEA markets cited as the primary cause.

Shipments of silicon-based alloys also declined by 4.4% year-on-year to 183,030 tonnes, while average prices fell 13.8% to $2,208/t. The segment’s adjusted EBITDA suffered the most, plunging 73.7%, largely due to slowed consumption from auto and construction industries.

Manganese Alloys Outperform, but Q4 Challenges Persist

Ferroglobe saw strong manganese-based alloy performance, with shipments up 21.5% to 275,991 tonnes and prices increasing 5.7% to $1,141/t. However, Q4 profitability collapsed due to higher ore costs and softer selling prices, with segment EBITDA down 74.5% quarter-on-quarter.

Rising raw material and energy costs further strained margins. These costs accounted for 62.5% of sales, up from 53.3% in 2023, driven by weaker prices and persistent energy inflation across operational regions.

Trade Protections May Stabilize Competitive Pressure

Despite near-term headwinds, Ferroglobe identified favorable trade developments. Measures by the US Department of Commerce and the European Commission — including anti-dumping duties on Russian imports and safeguard investigations into key alloys — may shield domestic producers from price suppression.

CEO Marco Levi emphasized that as a local producer in the US and Europe, Ferroglobe stands to benefit from these interventions. These actions may help rebalance the market by curbing artificially low-priced imports, ultimately improving earnings visibility for 2025.

China Vanadium Prices Weaken as Supply Rises and Steel Demand Slows

China Vanadium

China vanadium prices are under renewed pressure as higher spot availability, weak alloy demand and softer steel mill tenders weigh on the market. Domestic 98% grade vanadium pentoxide flake prices fell to 82,000-87,000 yuan/t on 8 May, their lowest level since 20 April.

China vanadium prices began to soften in late April after alloy producers slowed purchases and cut procurement bids. Most ferro-vanadium producers lowered feedstock buying levels after steel mill tender prices came in below market expectations.

China vanadium prices are also being pressured by rising output. Domestic vanadium production reached 56,040t of vanadium pentoxide in January-April, up 7.6% from a year earlier.

The market is now facing a classic supply-demand imbalance. Higher vanadium flake and slag production has increased spot availability, while steel-sector demand remains weak and export outlets are slowing.

Higher Flake and Slag Output Increases Spot Availability

China’s vanadium supply increased because stronger earlier prices encouraged producers to lift output from vanadium-bearing steel slag. Vanadium-containing steel slag production rose to 49,320t in January-April, up 8% from a year earlier.

Higher flake prices in the first four months improved margins for slag-based production. Domestic 98% grade vanadium pentoxide flake averaged 80,812 yuan/t ex-works during January-April, up 9.5% from a year earlier.

New capacity has also added pressure. Qinhuangdao Baigong Steel started a 10,000 t/yr vanadium pentoxide flake production line in Hebei province in February.

This additional output arrived just as downstream buying slowed. Major flake suppliers had not finalised some contracts by 8 May, while some alloy producers were buying only limited volumes at lower cash prices.

The increase in spot availability has changed buyer behaviour. Alloy producers are no longer rushing to secure feedstock because they expect further price weakness.

That expectation can reinforce the decline. When buyers delay purchases, sellers face more pressure to reduce offers, especially when inventories rise and steel demand remains poor.

Weak Steel Tenders and Export Slowdown Limit Demand

Ferro-vanadium demand remains the main drag on the vanadium market. Domestic 50% grade ferro-vanadium prices fell to 93,000-94,000 yuan/t ex-works on 8 May, their lowest level since 1 April.

Steel mill tender prices also declined. Prices paid by steelmakers fell to 94,000-95,000 yuan/t delivered, including VAT and payable by acceptance bill, down from late-April levels.

Steelmakers are lowering bids because steel margins remain weak. This is especially important for vanadium because much of its demand comes from alloying in rebar and other steel products.

China’s rebar production fell to 29.54mn t in January-April, down 8.6% from a year earlier, as the real estate slowdown continued to reduce construction-related steel demand.

Steelmakers purchased an estimated 6,865t of vanadium alloys in April, down 17% from a year earlier. This confirms that weaker steel consumption is now feeding directly into lower vanadium alloy demand.

Export conditions are also turning less supportive. China’s vanadium flake exports are expected to decline in the coming months as international production increases.

Canadian producer Largo more than doubled vanadium pentoxide output in the first quarter to 2,616t, supported by higher-grade ore and steadier processing at its Brazilian mine. Russian producer Evraz also started a new 15,000 t/yr vanadium pentoxide flake plant in March and is expected to ramp up by June.

These additions reduce the need for some overseas buyers to rely on Chinese flake. That weakens a potential outlet for excess Chinese supply.

The near-term outlook remains soft. Unless steel mill tenders recover or vanadium exports improve, rising spot availability will likely keep pressure on vanadium pentoxide flake and ferro-vanadium prices.

The Metalnomist Commentary

China’s vanadium market is being hit by the wrong combination: rising supply, weak rebar output and cautious alloy buying. The longer-term battery storage story remains attractive, but near-term pricing still depends heavily on steel demand and feedstock discipline.

Hindustan Zinc Zinc Park Gains Momentum With CMR Alloy Manufacturing Deal

Hindustan Zinc vs Vedanta

Hindustan Zinc Zinc Park is gaining industrial momentum after Vedanta’s Hindustan Zinc signed an MoU with CMR Green Technologies to establish a zinc alloys manufacturing facility in Rajasthan. The planned unit will produce zinc alloys for automotive, infrastructure, die-casting, and consumer goods applications.

Hindustan Zinc Zinc Park is being positioned as more than a downstream processing zone. It is designed to link primary zinc supply, recycling capability, alloy production, and renewable energy into a more integrated value chain. That structure could strengthen India’s ability to serve both domestic manufacturers and export markets.

The agreement also deepens Hindustan Zinc Zinc Park’s role as a platform for industrial partnerships. It follows HZL’s earlier MoU with Tripura Group, under which Hindustan Zinc will supply zinc metal to a planned unit at the park through a long-term offtake arrangement.

Zinc Alloy Demand Supports India’s Downstream Manufacturing Push

Zinc alloys are important materials for die-casting, automotive components, infrastructure products, hardware, and consumer goods. These sectors require reliable alloy supply, consistent quality, and proximity to metal sources.

The CMR Green Technologies partnership adds a recycling dimension to the project. CMR’s non-ferrous recycling expertise can support metal recovery and reuse, helping the facility align with circular economy goals. This matters as manufacturers increasingly seek lower-waste and resource-efficient supply chains.

For India, the project supports a broader shift from primary metal production toward higher-value downstream manufacturing. Instead of exporting or selling zinc mainly as refined metal, HZL can help create more alloy-based industrial activity near its own production base.

Integrated Zinc Hub Could Strengthen Supply Security

The location of Zinc Park gives the project a clear supply-chain advantage. The park is near HZL’s Dariba zinc mine and its Chanderiya and Debari smelting operations, which can support steady raw material availability for downstream units.

HZL’s dominant position also gives the park strategic weight. The company is India’s largest zinc producer and holds 77% of the domestic market. That scale can help anchor long-term supply arrangements and attract additional manufacturing partners.

The renewable energy-powered model is also significant. Energy costs and carbon performance are becoming more important for metals customers, especially in automotive, infrastructure, and export-facing sectors. If executed well, Zinc Park could become a more competitive platform for zinc alloy manufacturing in India.

The Metalnomist Commentary

HZL’s Zinc Park strategy shows how primary metal producers are moving closer to downstream industrial customers. The key opportunity is not only zinc volume, but control over alloy supply, recycling integration, and low-carbon manufacturing capacity.

Xinjiang Jinsheng Magnesium Expands Production Capacity in China

Xinjiang Jinsheng, New plant

New phase of plant construction to increase magnesium metal and alloy production by 35,000 t/yr.

Chinese magnesium producer Xinjiang Jinsheng has officially commenced the construction of the second phase of its Hami-based plant in Xinjiang province. This phase will add 35,000 tonnes per year of production capacity for magnesium metal and alloy. The construction, which began in April 2024, is expected to be completed and operational by the end of 2026, significantly boosting Jinsheng's production capabilities.

Expansion of Jinsheng’s Magnesium Production

The Hami plant’s first phase, which began production in 2011, has reached a full capacity utilization of 20,000 tonnes per year by 2024. With the addition of the second phase, Jinsheng will increase its total production capacity for magnesium metal and alloys to 55,000 tonnes per year. This expansion is a key development for the company, as it strengthens its position in the competitive magnesium industry.

Qixin Alloy's Role and Acquisition by WZ Group

Xinjiang Jinsheng Magnesium is a subsidiary of Zhejiang Qixin Alloy, which operates three magnesium plants in China: Jinsheng Magnesium in Hami, Taiyang Magnesium in Wuzhong (Ningxia), and Jinshi Magnesium in Alashan (Inner Mongolia). Together, these facilities contribute a total production capacity of 80,000 tonnes per year.

In August 2023, Zhejiang Qixin Alloy was acquired by WZ Group, a state-owned enterprise with a significant presence in the industrial sector. WZ Group’s acquisition of Qixin is part of its strategy to strengthen its foothold in the magnesium industry. The synergy between WZ’s existing subsidiaries and Qixin is expected to optimize WZ’s industrial structure and enhance its overall competitiveness.

China’s Magnesium Industry Growth

China remains the world’s leading producer of magnesium, with a total output of 953,100 tonnes of magnesium metal in 2024. Of this, 52,800 tonnes were produced in Xinjiang province, where Jinsheng’s Hami plant plays a critical role. The continued growth in China’s magnesium production is driven by the increasing demand for magnesium alloys in industries such as automotive, aerospace, and electronics.

Conclusion

The expansion of Xinjiang Jinsheng’s magnesium production capacity represents a major step in the company's growth and China's broader efforts to maintain its dominance in the global magnesium market. With the support of WZ Group, Jinsheng’s enhanced production capabilities will strengthen its position as a leading supplier of magnesium metal and alloys.

SMEL Raises Alloy Sales on Strong Export Demand

Shyam Metalics and Energy

SMEL raises alloy sales as export demand strengthens and capacity expands. The producer lifted July ferro-alloy sales by 13pc year on year. Meanwhile, average prices dipped versus 2024 on a softer domestic market.

Ferro-alloys gain volume while prices lag

SMEL raises alloy sales to 21,832t in July on higher output. Month-on-month growth reached 30pc from June’s 16,762t. However, the average sales price fell 7.6pc year on year to Rs93,532/t. Prices still improved 3.7pc from June’s Rs90,202/t. As a result, margins likely tracked mix and export realizations. Buyers in overseas markets absorbed volumes despite weaker India demand.

Stainless steel wire becomes a growth lever

SMEL raises alloy sales alongside stainless steel momentum. July stainless sales rose 42pc year on year to 8,102t. They also climbed 43pc from June’s 5,665t on new capacity. Therefore, the stainless wire line should scale quickly. The firm targets ~10,000t in FY25-26 and 20,000t the year after. This supports product diversification and downstream value capture.

SMEL raises alloy sales while navigating pricing headwinds. Capacity additions and technology upgrades underpin volumes. Yet domestic weakness keeps realized prices below 2024 levels. Consequently, export channels remain essential for utilization and cash flow. The company’s disciplined ramp should protect share in ferro-alloys and stainless.

The Metalnomist Commentary

SMEL’s export-led strategy offsets India’s softer demand and stabilizes run-rates. Watch stainless wire ramp speed and price recovery into peak season. Sustained export orders and mix upgrades will determine EBITDA resilience if domestic prices lag.

NBVL Ferro-Silicon Output Surges 480% on Strong Export Demand

NBVL

NBVL ferro-silicon output achieved remarkable growth with production reaching 13,490 tonnes in FY2025, compared to just 2,380 tonnes the previous year. The Indian ferro-alloy producer's NBVL ferro-silicon production increase of nearly six times reflects strong international orders, particularly from the US market, amid challenging domestic conditions and oversupply pressures.

Strategic Furnace Conversion Drives Production Expansion

NBVL ferro-silicon production capacity expanded through strategic infrastructure investments beginning in January 2024. The company launched its first ferro-silicon furnace with 11,000 tonnes annual capacity, followed by a second furnace in December 2024. However, the second furnace switched back to silico-manganese production on May 1, 2025, following the US imposition of additional 10% tariffs on ferro-silicon imports.

Meanwhile, the furnace conversion strategy impacted silico-manganese production at NBVL's Paloncha operations. Silico-manganese output decreased 4.4% to 25,617 tonnes in Q4 FY2025 as two furnaces were temporarily converted to ferro-silicon production. Total silico-manganese production fell slightly to just under 104,200 tonnes for the full financial year.

Export Focus Delivers Revenue Growth Despite Market Challenges

However, NBVL's export-oriented strategy proved successful despite domestic market headwinds and international trade tensions. Export sales constituted 40% of total sales during FY2025, with the majority of ferro-silicon shipments destined for US markets. Combined silico-manganese and ferro-silicon sales reached 42,327 tonnes in Q4, significantly higher than 20,068 tonnes in the previous quarter.

Therefore, the company's strategic pivot toward international markets generated improved revenue and profitability metrics. NBVL management indicated expectations for better performance in FY2026 while targeting Japanese markets rather than domestic or other international destinations. This geographic diversification strategy aims to reduce dependence on tariff-affected US ferro-silicon trade.

Market Conditions Shape Future Investment Strategy

Furthermore, NBVL management expressed caution about domestic expansion plans citing existing oversupply conditions in India's ferro-alloy market. The company indicated it would consider expansion only after securing dedicated raw material sources to ensure competitive cost structures. This conservative approach reflects broader industry challenges including volatile raw material prices and intense competition.

As a result, the US tariff implementation on ferro-silicon products demonstrates how trade policies directly influence production decisions and market strategies. NBVL's quick response in switching the second furnace back to silico-manganese production illustrates operational flexibility in navigating changing trade conditions while maintaining export competitiveness.

The Metalnomist Commentary

NBVL's dramatic ferro-silicon output expansion exemplifies how Indian ferro-alloy producers leverage export opportunities to offset domestic market weakness, though trade policy changes require rapid operational adjustments. The company's strategic furnace switching capabilities demonstrate the importance of production flexibility in navigating volatile international trade conditions that increasingly characterize global ferro-alloy markets.

AMG Chrome Metal Plant Strengthens US Aerospace Alloy Supply

AMG Critical Materials

AMG chrome metal plant start-up in Pennsylvania will add new US production capacity for a specialty metal used in aerospace, defence and energy applications. AMG Critical Materials plans to open the 6,500 t/yr aluminothermic chrome metal facility in New Castle on 17 June.

The AMG chrome metal plant is strategically important because the US remains heavily dependent on imported unwrought chromium and chromium powders. In 2025, the US imported 11,153t of these products, with the UK supplying 51% and China supplying 34.9%.

The AMG chrome metal plant will sit next to AMG’s existing titanium facility, which produces titanium master alloys and other specialty alloys for aerospace, defence and energy markets. That location creates a stronger domestic cluster for high-performance alloy inputs.

Chrome metal is used in superalloys because it improves corrosion resistance and high-temperature performance. These properties are essential for aircraft engines, defence systems, industrial turbines and other demanding applications.

New Castle Facility Adds Domestic Chrome Capacity

AMG’s new Pennsylvania facility will use aluminothermic production to make chrome metal. The process is important for producing material suitable for high-performance alloy markets.

AMG already has established chrome expertise through AMG Chrome, its UK-based subsidiary. The Rotherham site produces chrome metal, high-purity degassed chrome metals and chrome powders.

The New Castle plant extends that capability into the US market. This gives American aerospace and defence customers another domestic source of chrome metal at a time when supply-chain security has become a higher priority.

The facility’s proximity to AMG’s titanium operation also matters. Titanium master alloys, chrome metal and specialty alloy inputs often serve overlapping customers in aerospace, defence and energy.

That creates potential operational and commercial advantages. AMG can support customers that need multiple alloying materials with stronger domestic logistics, qualification support and supply visibility.

Tariffs and Russian Supply Loss Reshape Chromium Trade

The US chrome market has been reshaped by sanctions, tariffs and trade disruption. Russian supplies became less available after the start of the Russia-Ukraine war, forcing buyers to rely more heavily on other sources.

China became a more important supplier as Russian material disappeared from western trade flows. However, the US imposed a 25% Section 301 tariff on Chinese-origin chrome metal in September 2024.

That tariff increased the cost and complexity of Chinese supply. It also strengthened the case for domestic production capacity, especially for aerospace and defence applications where supply continuity matters.

Europe’s own supply behaviour has also changed. The loss of Russian supplies pushed French producers to keep more material within Europe rather than ship volumes to the US.

This leaves the US exposed to a narrow set of import routes. AMG’s Pennsylvania plant helps reduce that vulnerability by adding domestic chrome metal capacity linked to an established specialty materials producer.

For aerospace superalloy supply chains, this is more than a metal availability issue. Engine and defence programmes require qualified, traceable and reliable materials. Domestic production can reduce risk around tariffs, sanctions, shipping and geopolitical disruption.

The Metalnomist Commentary

AMG’s New Castle plant shows that specialty alloy security is moving beyond titanium and nickel into smaller but critical inputs such as chrome metal. The US cannot build resilient aerospace and defence supply chains without domestic capacity for the alloying elements that make superalloys perform.

Carpenter aerospace demand set to rise as 737 MAX cap increases

Carpenter Technology

Carpenter aerospace demand is poised to rise after the FAA lifted Boeing’s 737 MAX production cap. The higher build rate strengthens Carpenter aerospace demand across key jet engine and structural alloy grades. As a result, Carpenter aerospace demand should underpin a multi-year earnings and investment cycle for the specialty alloy producer.

737 MAX ramp unlocks stronger Carpenter aerospace demand

The FAA’s decision to raise the 737 MAX cap from 38 to 42 aircraft per month is a clear upside signal. Carpenter’s chief executive Tony Thene said the change is “a very significant positive” as customers move quickly to increase orders. Higher narrowbody build rates translate directly into more demand for nickel and titanium-rich alloys used in engines and critical structures.

Aerospace and defense already dominate the company’s revenue mix and will amplify Carpenter aerospace demand further. In the fiscal first quarter, aerospace and defense sales rose 11pc to $388.3mn and accounted for 64pc of total revenue. Bookings in the segment jumped 23pc quarter on quarter, supported by five large long-term agreements that lock in alloy volumes over several years.

Beyond aerospace, energy, industrial and consumer markets also contributed to growth, even as medical and transportation softened. Energy sales rose 8pc year on year to $42.5mn and industrial and consumer revenue increased 4pc to $75mn. These diversified end markets help stabilize earnings while Carpenter aerospace demand remains the main engine for margin expansion.

Melt capacity expansion supports multi-year aerospace growth

Carpenter plans to expand both primary and secondary melt capacity through brownfield projects. The company expects these investments to complete in 2027 and says work remains on budget and on schedule. Additional melting capacity will help relieve bottlenecks in high-value specialty alloys required by jet engine and defense customers.

Specialty alloys shipments fell 11pc year on year to 44.8mn lbs, highlighting current capacity tightness and product mix optimization. However, overall profit still surged 44pc to $122.5mn, showing the pricing power of aerospace-grade alloys. As new melt capacity comes online, Carpenter aerospace demand can convert more directly into volume growth rather than just price and mix gains.

Management continues to emphasize a “strong, multi-year outlook” for aerospace, defense, medical and power generation markets. The 737 MAX ramp, together with broader fleet renewal and engine upgrade programs, should keep Carpenter aerospace demand elevated well beyond this year. The company is positioning its footprint to support higher OEM build rates and long-term aftermarket needs.

The Metalnomist Commentary

Carpenter aerospace demand illustrates how incremental changes in OEM build caps can cascade through the alloy supply chain. The 737 MAX increase looks small in monthly units, but it drives multi-year demand for complex nickel and titanium-based products. For metals suppliers, the combination of locked-in contracts, melt expansion and tight aerospace specifications points to sustained pricing power, even if some industrial segments lag.

China Titanium Forging Project Marks a New Step in Downstream Capacity Growth

Sichuan Panjin

China titanium forging project development is entering a new phase as Sichuan Panjin moves toward first-phase start-up in Xichang. The company has completed construction of the initial 20,000 t/yr phase. It has also commissioned the vacuum consumable arc furnace and finished hot load testing. As a result, commercial operations could begin as early as March after final ramp-up work.

The project matters because it strengthens downstream titanium alloy processing, not just primary material supply. Sichuan Panjin will use titanium sponge from Pangang as feedstock. It will focus on titanium alloy melting and forging for higher-value industrial applications. Therefore, the China titanium forging project supports a broader shift from raw material output to processed titanium products.

This move also fits a wider industrial trend in China’s titanium sector. Producers increasingly want more control over conversion, quality, and regional supply chains. High-specification titanium alloys now matter more for aerospace, chemical processing, and new energy demand. Consequently, new forging capacity carries both industrial and strategic value.

Sichuan Panjin Titanium Alloys Project Expands Regional Processing Depth

Sichuan Panjin titanium alloys capacity is designed to close a long-standing processing gap in Liangshan’s vanadium-titanium industry. The project adds local melting and forging capability to an area known more for upstream resources. That improves industrial depth within western China. Meanwhile, it may reduce reliance on outside processors for downstream titanium conversion.

The first phase alone will add meaningful capacity to the regional market. Once fully ramped, it will provide 20,000 t/yr of titanium and titanium alloy melting and forging capability. The second phase is scheduled to begin in the second half of this year. It is targeted for completion in 2027. Therefore, the full project could become a sizeable new pillar in western China titanium supply.

Ownership structure also gives the project industrial weight. Sichuan Panjin is a joint venture between Pangang Xichang Xingangye and Henan Zhongyuan Titanium. Zhongyuan Titanium, controlled by stainless steel producer Yongjin, holds a 66pc stake. That combination links upstream feedstock access with downstream alloy processing ambition.

Western China Titanium Supply Could Gain More Strategic Relevance

Western China titanium supply could become more competitive as this project moves into production. Market participants expect the new facility to strengthen supply for high-specification titanium alloys. Those grades are increasingly important in aerospace, chemical equipment, and emerging energy systems. As a result, the plant may improve regional responsiveness to higher-end demand.

The project’s scale also signals a value-upgrading strategy rather than a simple capacity addition. Once both phases are completed, total capacity will reach 40,000 t/yr. Annual output value could rise to as much as Yn3bn. That suggests the company is targeting margin improvement through deeper processing and product quality.

For the broader titanium market, this is a notable development. New sponge capacity alone does not create a complete supply chain. Melting, forging, and alloy qualification determine real commercial value. Therefore, the China titanium forging project reflects a more mature stage of industrial expansion.

The Metalnomist Commentary

This project shows how China’s titanium sector is pushing further downstream to capture more value. Capacity growth now matters most where it improves processing depth and alloy quality. If execution stays on track, western China could gain a stronger role in premium titanium supply.

 

IMFA Ferro-Chrome Expansion Will Reshape India’s Alloy Supply Landscape

IMFA, Ferro-Chrome

IMFA ferro-chrome expansion is set to change the scale of India’s alloy market by the end of 2026. Indian Metals and Ferro Alloys plans to lift total ferro-chrome capacity from 284,000 t/yr to 534,000 t/yr. That jump would make IMFA the country’s largest ferro-chrome producer. As a result, IMFA ferro-chrome expansion is becoming one of the most important capacity stories in India’s stainless steel supply chain.

The core of this growth sits in Odisha. IMFA plans to commission a 100,000 t/yr greenfield expansion at Kalinganagar by June 2026. It also signed agreements to acquire Tata Steel’s ferro-chrome plant at the same industrial location. Therefore, IMFA ferro-chrome expansion is combining organic growth with strategic acquisition.

This matters because India’s domestic alloy demand is rising alongside industrial growth. Management said the company wants to increase exposure to the local market once the new capacity comes online. That means the expansion is not only about scale. It is also about shifting closer to domestic stainless steel demand.

Odisha Ferro-Chrome Plant Growth Strengthens IMFA’s Market Position

The Odisha ferro-chrome plant strategy gives IMFA a stronger industrial platform. Kalinganagar is already one of India’s most important metals clusters. Expanding there offers operational advantages in logistics, infrastructure, and customer access. As a result, the Odisha ferro-chrome plant buildout should support better scale efficiency.

Recent operating data already shows steady momentum. IMFA produced 67,196t of ferro-chrome in the October-December 2025 quarter, slightly above the prior year. Higher realizations and stable operating costs supported that performance. Therefore, the company is entering its expansion phase from a relatively stable operating base.

Sales were slightly lower year on year in the quarter, but that does not weaken the broader story. The more important signal is that IMFA maintained cost discipline while preparing for much larger capacity. Consequently, the Odisha ferro-chrome plant expansion looks commercially timed rather than speculative.

Indian Chrome Ore Supply Gives the Expansion More Credibility

Indian chrome ore supply is a key reason this expansion appears credible. IMFA mined 265,468t of chrome ore in the third quarter of fiscal 2025-26, well above the previous year. That increase improves confidence in feedstock support for larger ferro-chrome operations. Therefore, IMFA ferro-chrome expansion is backed by stronger upstream output, not just downstream ambition.

This feedstock position matters in ferro-alloys because ore availability often determines real production strength. A company can build furnaces, but without reliable chrome ore, capacity remains theoretical. IMFA’s rising mine output helps reduce that risk. Meanwhile, it strengthens the company’s position in a market where raw material security matters.

The company is also widening its business base. IMFA is setting up a grain-based ethanol plant in Odisha as part of diversification. That project is separate from ferro-chrome, but it shows management is thinking beyond one revenue stream. Even so, the alloy expansion remains the more strategically important move for India’s metals market.

The Metalnomist Commentary

IMFA’s plan matters because it combines scale, ore security, and domestic market focus in one expansion cycle. This is not just a capacity increase. It is a stronger bid for leadership in India’s ferro-chrome industry. If execution stays on track, IMFA could become a much more influential alloy supplier by 2026.

Pangang Resumes Vanadium Guide Prices Amid Market Rebound

Pangang Vanadium

China's largest vanadium producer, Pangang, resumed issuing its weekly vanadium guide prices on September 23, after a temporary suspension in mid-June caused by continuous drops in spot prices. The company's latest guide price for 50% grade ferro-vanadium stands at 85,000 yuan per ton (Yn170/kg or $26.21/kg for contained vanadium). For the 77% vanadium and 16% nitrogen alloy, the price is set at Yn115,000 per ton.

Pangang's previous price revision took place on June 11, when the guide price for 50% grade alloy was Yn99,000 per ton, and for the 77% vanadium and 16% nitrogen alloy, it was Yn135,000 per ton. Since launching weekly guide prices on August 1, 2016, the company has consistently adjusted prices on Mondays or Thursdays, depending on market conditions.

Market Reactions to China's Stimulus Policies Boost Alloy Prices

On September 27, alloy market prices began to rise following China's announcement of new economic stimulus policies earlier in the week. Many alloy smelters increased their offers due to reduced spot supplies and renewed demand from steel mills ahead of the October 1-7 National Day holiday. Prices for 50% grade ferro-vanadium climbed to Yn80,000-81,000 per ton, up from Yn78,000-80,000 per ton the previous day.

Pentoxide flake prices also saw an increase, reaching Yn70,500-71,000 per ton, as small and medium-sized suppliers began selling at higher prices after major Chinese suppliers, including Sichuan Chuanwei, Sichuan Desheng, and Chengde Jianlong, sold out their September output.

Pangang's vanadium pentoxide equivalent production in 2023 reached 49,800 tons, marking a 6.2% increase from the previous year's output of 46,900 tons. The company’s production guidance for vanadium pentoxide equivalent this year is set at 44,100 tons. Additionally, Pangang boasts significant output capacity in titanium concentrate, titanium slag, and titanium dioxide production, further cementing its role as a key player in the global market.