Moil Manganese Ore Prices Fall as Indian Steel Demand Weakens

Moil, Manganese Ore

Moil manganese ore prices have been cut by 4% for May as weak downstream steel demand and sluggish export bookings pressure India’s manganese market. The state-owned producer reduced prices across ferro-grade ore, silico-grade ore and fines.

Moil manganese ore prices for ferro-grade material with manganese content of 44% and above, as well as below-44% material, were lowered by 4% from April levels. The cut follows a sharp 17.5% increase in April for ore below 44% manganese content.

Moil manganese ore prices for 25% and 30% silico-grade ore and fines were also reduced by 4% for May. The move reflects a softer market environment in which domestic buyers are cautious and export opportunities remain limited.

The price cut highlights a wider imbalance in India’s manganese ore chain. Lower export demand has pushed more material into the domestic market, creating surplus supply across major trading hubs.

Weak Steel Demand Pressures Ferro-Grade Ore

Ferro-grade manganese ore demand remains tied closely to steel and ferro-alloy production. When steel demand weakens, alloy producers reduce feedstock buying and ore prices come under pressure.

India’s downstream steel market has been sluggish, limiting demand for manganese alloys and the ore used to produce them. This has made buyers more cautious about restocking, especially after the April price increase.

The 4% reduction is therefore a market-clearing move. Moil is adjusting prices to reflect weaker consumer appetite and rising domestic availability.

Export weakness has added further pressure. Reduced overseas bookings mean more ore is staying inside India, increasing competition among suppliers and traders.

This domestic oversupply is especially important for ferro-grade ore. Alloy producers can delay purchases when they expect further weakness, which slows market activity and reinforces downward pressure.

Higher Output Adds to Domestic Supply Overhang

Moil’s production has continued to rise despite weaker demand. The company produced around 164,000t of manganese ore in March 2026, up from 159,000t a year earlier.

Full-year output for April 2025-March 2026 reached 1.9mn t, compared with 1.8mn t in the previous fiscal year. This higher supply has entered a market already facing softer domestic and export demand.

The result is a supply overhang across key trading hubs. Even if production growth is modest, weaker buying can quickly create surplus conditions in the manganese ore market.

For alloy producers, lower ore prices may ease cost pressure. But the benefit depends on whether ferro-manganese and silico-manganese demand recovers enough to support production margins.

For Moil, the challenge is balancing output growth with market absorption. Higher production supports volume targets, but weak demand forces price adjustments when inventories rise.

The May price cut therefore sends a clear signal. India’s manganese ore market needs stronger steel and alloy demand before pricing power can return.

The Metalnomist Commentary

Moil’s price cut shows that India’s manganese market is being driven by demand weakness, not raw material scarcity. Until steel and export bookings improve, higher mine output will continue to weigh on ore pricing.

South Manganese to Launch Manganese Lump Production at Daxin Plant in Guangxi

South Manganese

South Manganese, a leading Chinese producer of manganese products, has announced plans to construct a new manganese lump project at its Daxin plant in Chongzuo city, located in Guangxi province, southern China. The facility is set to produce 300,000 tonnes per year (t/yr) of manganese lump with a minimum purity of 95%. However, specific details regarding the launch and completion dates of the project were not disclosed.

South Manganese Expands Production into Deep-Processed Products

The new project represents a strategic move by South Manganese to expand its product range, specifically into deep-processed manganese products. According to the company’s chairperson Zhan Haiqing, the move will help the firm diversify its product offerings and strengthen its position in the manganese market. Manganese lump is a preferred product due to its ability to withstand prolonged storage without oxidizing, even in regions with high moisture levels, such as southern China. This advantage sets it apart from manganese flake, which can be more vulnerable to oxidation during storage.

South Manganese, formerly known as Citic Dameng, already operates four smelting plants in Chongzuo, with a combined manganese flake production capacity of 230,000 t/yr. In 2023, the company produced 157,300 tonnes of manganese flake and 14,300 tonnes of manganese briquette, showcasing its established role in the global manganese market.

Manganese Lump Production: A Growing Demand for High-Quality Manganese

Manganese is a critical material in the production of steel and batteries, which are key sectors driving demand for the metal. The recent price increases for manganese alloys have led producers to raise their offers for manganese flake, with prices for 99.7% grade manganese flake assessed between 12,300-12,500 yuan/tonne ($1,670-$1,717/tonne) as of December 16, 2024. This increase follows a rise in the prices of manganese alloys, highlighting the ongoing upward trend in manganese prices.

South Manganese's new project aligns with the broader industry movement towards higher-quality and more diversified manganese products. The manganese industry alliance meeting held in December 2024 is expected to provide further direction on price trends, with market participants keen to understand future price dynamics and the impact of new production initiatives like South Manganese’s Daxin project.

A Key Player in China's Manganese Sector

As one of China’s foremost manganese producers, South Manganese’s expansion into the manganese lump market will likely reinforce its market position both domestically and internationally. The company’s diversification into deep-processed products is an important step to meeting the evolving needs of the steel and battery industries, sectors that depend on high-quality, stable supplies of manganese.

India Manganese Alloy Prices Fall as Supply Glut Meets Weak Demand

Manganese alloy

India manganese alloy prices declined as muted demand, excess supply and cautious buying weighed on the bulk alloys market. Ferro-manganese and silico-manganese both moved lower, while ferro-chrome and ferro-silicon prices remained broadly stable.

India manganese alloy prices are under pressure from a widening mismatch between production and consumption. Weak stainless steel demand, limited export bookings and inventory overhangs have reduced market momentum.

India manganese alloy prices are also being affected by liquidity pressure among producers. Some suppliers lowered offers toward the end of the month to generate cash flow, adding further downside pressure.

The broader market remains uneven. Ferro-chrome is supported by long-term export commitments, while ferro-silicon is supported by limited availability. Manganese alloys, however, face weaker domestic and overseas demand.

Ferro-Manganese and Silico-Manganese Weaken on Inventory Pressure

Ferro-manganese prices fell as domestic demand remained insufficient to absorb available supply. The 70% ferro-manganese price declined to Rs83,000-85,000/t ex-works, while 75% material fell to Rs90,000-92,000/t.

Higher manganese ore costs continue to provide some support. This is why ferro-manganese prices are expected to remain above silico-manganese, despite weak buying and limited spot activity.

However, the domestic market is still struggling with excess supply. Producers are competing for limited orders, and some have cut prices to maintain liquidity.

Silico-manganese prices also moved lower. Indian 60% silico-manganese fell to Rs82,500-83,500/t ex-works, with market activity described as extremely limited.

Price recovery will be difficult until inventories are absorbed. Buyers remain cautious and are delaying purchases because they expect further corrections.

Export prices also weakened. The 60% silico-manganese export price fell to $890-900/t fob east coast, while 65% material declined to $960-980/t fob.

Overseas buying slowed as higher offer levels discouraged bookings. Middle East enquiries halted because of geopolitical tensions, while European demand weakened under quota restrictions.

CBAM certification is adding another pressure point. European buyers are increasingly demanding carbon documentation for high-carbon manganese alloys, raising compliance costs and complicating Indian export sales.

Ferro-Chrome and Ferro-Silicon Hold Steady Despite Weak Sentiment

Ferro-chrome prices remained stable even as downstream demand stayed subdued. High-carbon 60% ferro-chrome held at Rs117,000-119,000/t ex-works.

Domestic producers continued fulfilling long-term export commitments. This helped keep the market steady despite weaker bids in OMC’s chrome ore auction.

The fall in auction bids reflected softer consumer demand. However, ferro-chrome did not face the same immediate inventory and liquidity pressure seen in manganese alloys.

Ferro-silicon prices also held steady. The 70% ferro-silicon price remained at Rs108,000-110,000/t ex-works, supported by limited availability and firm demand.

The difference between ferro-silicon and manganese alloys shows how supply balance is driving price direction. Ferro-silicon has tighter availability, while manganese alloys face surplus material and weaker offtake.

For Indian bulk alloys, export conditions remain critical. Domestic demand alone may not be enough to absorb production if overseas buying stays weak.

The European market will also become more difficult for high-carbon alloys. CBAM compliance, quota restrictions and weak steel consumption could keep Indian exporters under pressure.

The Metalnomist Commentary

India’s manganese alloy market is not facing a raw material problem alone; it is facing a demand absorption problem. Until excess inventories clear and export demand improves, ore cost support will only slow the decline rather than reverse it.

Georgian Manganese Halts Silico-Manganese Production Amid Market Decline and Protests

Georgian Manganese

Georgian Manganese, a leading producer of silico-manganese based in Georgia, has announced a suspension of its silico-manganese production for four months. This decision follows a prolonged decline in global demand for ferro-alloys and the resulting fall in prices. The suspension, which began on October 2, will continue through March 1, 2024, at the company's processing plant in Zestafoni, Georgia. The company confirmed the shutdown through a post on social media, citing market conditions and ongoing operational challenges.

Market Conditions and Operational Challenges

Georgian Manganese has faced a steady downturn in the silico-manganese market for the past two years, with prices continuing to soften. As a result, the company ceased sales to its primary market, the United States, in September. The market slump, coupled with protests at the company’s mining operations in Chiatura, Georgia, has made it increasingly difficult to maintain production levels.

Protests at the Chiatura mine, which accounts for a significant portion of Georgian Manganese's manganese ore supply, have worsened since March. Local picketing activities have caused a 70% decrease in production at the mine, further compounding supply issues. As a result, Chiatura Management, the contractor responsible for the mine, has been unable to ensure a consistent feedstock supply to the Zestafoni plant, prompting the decision to halt production.

Despite these setbacks, Georgian Manganese remains hopeful that market conditions will improve and the company can resume operations ahead of schedule. A crisis management plan is being developed to address the ongoing issues at the mine, with an emphasis on stabilizing the supply of manganese ore and improving overall operational efficiency.

The Importance of Georgian Manganese in the US Market

Historically, Georgia has been a significant supplier of silico-manganese to the United States. In the period from 2019 to 2023, Georgia accounted for 24% of the US’s silico-manganese imports, amounting to 415,182 metric tonnes. This year, the country has already shipped 60,253 tonnes of the 254,771 tonnes of silico-manganese imported by the US up until the end of August.

Georgian Manganese is owned by Florida-based Georgian American Alloys, which also owns Feldman Trading. Through this subsidiary, Georgian American Alloys markets its products in the US. The company also owns CC Metals and Alloys, previously a ferro-silicon producer in Kentucky, and Feldman Production, which manufactures silico-manganese and high-carbon ferro-manganese in West Virginia.

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.

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.

EU Silico-Manganese Prices Unlikely to Rally Despite Filled Quotas

Silico-Manganese

EU silico-manganese prices are unlikely to rise sharply despite the rapid exhaustion of tariff-free import quotas for Indian material and supply from other developing countries. Weak end-user demand, existing stock coverage and summer maintenance at steel mills are limiting the price impact.

EU silico-manganese prices did move higher after the third safeguard quota period opened on 18 May. Importers tried to pass duty costs through to consumers, lifting prices by €30/t on 21 May.

EU silico-manganese prices still face resistance from buyers. Many large steel consumers already secured annual contracts or imported material before the safeguards took effect, leaving limited spot demand in the market.

The result is a tighter import structure without a strong demand shock. Quota exhaustion is raising costs for importers, but it has not yet created the kind of physical shortage needed to force a major price rally.

Filled TRQs Raise Import Costs but Demand Remains Covered

Importers submitted 41,993t of Indian silico-manganese for clearance on the first day of the new quota period. That exceeded the available Indian quota of 31,959t by 10,034t.

Only 76% of the submitted Indian material was allocated inside the quota. The rest had to clear as out-of-quota material, exposing importers to higher costs under the EU safeguard mechanism.

The safeguard system combines country-specific tariff-rate quotas with a variable duty on excess imports. The duty is calculated against a price threshold, effectively creating a minimum import price.

For silico-manganese, that minimum import price is €1,392/t. This is well above the recent European delivered market assessment of €1,080-1,130/t.

That gap creates immediate pressure on traders holding out-of-quota material. One trader said the duty impact on part of his cargo would raise his average import cost by about €120/t across the full shipment.

Some suppliers have increased offers by around €50/t and are holding material while they assess market direction. But buyers are not accepting higher prices quickly because cheaper unsold units remain available in smaller volumes.

The timing also weakens the price case. European mills typically reduce activity during the summer maintenance period, lowering near-term consumption of manganese alloys.

Safeguards Shift Trade Flows While CBAM Alters Alloy Choices

The EU introduced safeguards on silico-manganese, ferro-manganese, ferro-silicon and silico-magnesium in November to protect European alloy producers from lower-cost third-country imports.

Silico-manganese has attracted more import activity than some other alloys. The quota for “other countries” was exhausted in both the second and third periods, while the current 18,956t quota was filled by 21 May.

Norway’s quota has also been closely watched. Its second-period quota was exhausted in April, but the third-period quota still had a large remaining balance as of 22 May.

Zambian material also remains available within quota. This gives importers some alternative supply routes, even as India and other-country quotas fill quickly.

Ferro-silicon and ferro-manganese quotas have not been filled. This shows that the safeguard impact is uneven across the ferro-alloy market.

CBAM is also changing trading behaviour. Silico-manganese is not subject to the Carbon Border Adjustment Mechanism, while high-carbon ferro-manganese carries additional administrative and compliance burdens.

That has made some traders more comfortable importing silico-manganese than ferro-manganese. Even when prices are close, lower bureaucracy can make silico-manganese more attractive from a trading perspective.

Ferro-manganese prices are receiving some support from CBAM-related caution, but liquidity and demand appear stronger in silico-manganese. This could keep trade flows focused on silico-manganese until buyers’ inventories fall.

The main market impact may therefore arrive in autumn. By then, end-user stocks could be lower, summer maintenance will have passed and importers may face tighter replacement costs under the safeguard regime.

The Metalnomist Commentary

The EU safeguard system is already raising import costs, but weak steel demand is preventing a sharp silico-manganese rally. The real test will come after summer, when mills return and buyers need to replace stocks under a more expensive import structure.

South32 Gemco Manganese Operations Face Cyclone Narelle Supply Risk

South32, Gemco Manganese

South32 Gemco manganese operations are facing renewed weather-related disruption risk as Cyclone Narelle approaches Groote Eylandt in Australia’s Northern Territory. The company is moving non-essential personnel offsite while monitoring the incoming system with local emergency authorities.

The precautionary move comes as Cyclone Narelle is forecast to pass Groote Eylandt on Saturday afternoon. Australia’s Bureau of Meteorology expects the cyclone to reach category three strength by that time, bringing stronger wind and rain conditions to the island.

South32 Gemco manganese operations are important to the seaborne manganese ore market because Gemco is a major source of high-grade Australian ore. Any operational disruption could affect supply flows into China, where manganese ore demand is closely tied to steel and alloy production.

Groote Eylandt Weather Risk Returns After Cyclone Megan Disruption

Groote Eylandt has already shown how severe weather can affect manganese supply. South32 paused mining operations at Gemco for four months in March 2024 because of Cyclone Megan, and manganese exports from the site only resumed in May 2025.

That history makes the latest cyclone warning more significant for the market. Even if the current action is only precautionary, buyers and traders will watch closely for any damage to mining, haulage, port infrastructure, or export schedules.

South32 plans to produce 3.2 million tonnes of manganese at Gemco in July 2025-June 2026. Maintaining that output will be important for stabilizing supply after the previous weather-related disruption.

Manganese Ore Market Watches China Demand and Australian Supply

South32 Gemco manganese operations also sit at an important point in the pricing cycle. The company raised its March-delivery Australian 43pc lumpy manganese ore cif China price by $0.10/mtu to $5.20/mtu in late January, citing expectations for stronger Chinese demand after the lunar new year holidays.

Cyclone-related uncertainty could add another layer of support if the market sees a risk to Australian export availability. Manganese ore is essential for steelmaking through ferro-manganese and silico-manganese production, so supply interruptions can quickly influence alloy raw material sentiment.

For now, the key issue is whether Cyclone Narelle causes only a short safety response or a broader operational setback. The market will focus on site access, port conditions, and South32’s ability to maintain shipment schedules after the weather system passes.

The Metalnomist Commentary

South32’s latest move shows that manganese supply risk is increasingly shaped by weather resilience as much as mine capacity. For steel-linked raw materials, reliable logistics from vulnerable export hubs can become a pricing factor overnight.

Eramet Manganese Ore Volumes Rise Despite Lower Gabon Mine Output

Eramet Manganese

Eramet manganese ore volumes increased in the first quarter as stronger transportation and external sales offset lower mine production from Comilog’s Moanda operations in Gabon. The French multi-metals group transported 1.61mn t of manganese ore in January-March, up 16% from a year earlier.

Eramet manganese ore volumes are on course to reach 6.4mn-6.8mn t for the full year. This suggests that logistics performance and inventory movement remain strong despite weaker quarterly production.

Eramet manganese ore volumes matter because Gabon is one of the world’s key manganese ore supply sources. Stable exports from Comilog support alloy producers in steelmaking markets, especially outside China.

Manganese ore production at Moanda fell by 11% on the year to 1.59mn t in the first quarter. However, external ore sales rose by 10% to 1.36mn t, showing that market deliveries remained resilient.

Alloy Output Supports Manganese Chain

Eramet’s manganese alloy production rose by 4% on the year to 168,000t in the first quarter. Sales increased by 6% to 158,000t.

The company produces manganese alloys across six sites in Norway, the US, France and Gabon. This gives Eramet exposure to both upstream ore and downstream alloy markets.

Manganese alloys are essential inputs for steelmaking. Ferro-manganese and silico-manganese improve strength, hardness and deoxidation performance in steel production.

The increase in alloy output indicates that downstream demand remained sufficient to support production. This is important at a time when some regional steel markets are under pressure from weak construction activity and cautious buying.

Eramet’s integrated position gives it flexibility. Higher transported ore volumes support external customers, while alloy production allows the company to capture additional value further along the manganese chain.

India Demand Offers Support as China Remains Weak

Eramet expects manganese ore demand to increase slightly in 2026. Growth is expected to come from higher alloy production in India and other non-China markets.

India is becoming more important in the manganese market because of steel production growth and alloy capacity expansion. Stronger Indian alloy output can support ore demand even when Chinese consumption is weaker.

China remains a pressure point. Eramet expects manganese ore demand in China to stay under pressure, reflecting slower steel demand and weaker market conditions.

This creates a more regionalised manganese outlook. Suppliers with access to growing alloy markets outside China may be better positioned than those heavily dependent on Chinese demand.

For Eramet, the key issue will be maintaining transported volumes while improving mine output. If Moanda production recovers and alloy demand remains steady, the company can strengthen its position across both ore and alloy markets.

The Metalnomist Commentary

Eramet’s first-quarter figures show that manganese supply strength depends as much on logistics and sales execution as mine output. India’s alloy growth could become a more important demand anchor if China’s steel-linked manganese consumption remains weak.

India's Manganese Alloy Imports Surge, Prompting EU Trade Protection Measures

Manganese Alloy

Rising Indian Imports Disrupt European Manganese Market

India's manganese alloy exports to Europe have surged, reshaping market dynamics and triggering a safeguard investigation by the European Commission. In January-November 2020, India accounted for only 3% of EU ferro-manganese imports, but by 2024, this share skyrocketed to 28%, totaling 104,376 metric tons.

The silico-manganese market also saw a dramatic shift. India’s share of EU silico-manganese imports grew from 10% in 2020 to 29% in 2024, reaching 164,722 metric tons. Other countries, including Georgia and Zambia, also expanded their presence, filling gaps left by Ukraine’s production collapse due to conflict with Russia.

European Producers Struggle to Compete

European manganese alloy producers have faced declining exports amid India's rising market share. France, Slovakia, and Spain saw major drops in silico-manganese exports between 2020 and 2024. France’s exports fell 64%, while Slovakia and Spain recorded declines of 35% and 11%, respectively.

Similarly, EU ferro-manganese exports have weakened. France's shipments fell 28%, while Slovakia’s exports dropped 47%. These declines stem not only from rising Indian competition but also from weaker demand in the EU stainless steel industry.

EU Commission Launches Safeguard Investigation

To protect European manganese and silicon-alloy producers, the European Commission initiated a safeguard investigation on December 19, 2024. Possible outcomes include higher customs duties or import quotas.

European buyers have increased their purchases of Indian manganese alloys in anticipation of potential restrictions, driving Indian manganese alloy prices higher in January. Meanwhile, Norwegian producers, who supply 40% of ferro-manganese and 35% of silico-manganese to Europe, are expected to receive exemptions from trade measures.

Moil Manganese Ore Prices Rise Sharply as Indian Supply Tightens

Moil

Moil manganese ore prices rose sharply for April as tight domestic availability and restricted imports pushed Indian buyers into a firmer market. State-owned Manganese Ore India increased prices across ferro-grade, silico-grade and fines material, reflecting stronger supply pressure across the domestic manganese chain.

Moil manganese ore prices for ferro-grade material with manganese content of 44% and above increased by 15% from March. Material below 44% manganese rose even more sharply, with prices up 17.5% for April.

Moil manganese ore prices also increased for 25% and 30% silico-grade ore and fines, both rising by 17.5% from March. The broad-based increase shows that tightness is affecting multiple ore grades rather than only high-grade ferro-alloy feedstock.

Domestic Ore Tightness Supports Ferro-Alloy Feedstock Prices

India manganese ore supply has become tighter as local availability remains constrained and imports face pressure from geopolitical disruptions. This has strengthened Moil’s pricing power at a time when ferro-alloy producers need reliable manganese feedstock.

Ferro-grade manganese ore is essential for ferro-manganese and silico-manganese production. These alloys are key inputs in steelmaking, where manganese improves strength, toughness and deoxidation performance.

The price increase is therefore important for Indian steel and alloy producers. Higher manganese ore costs can feed into ferro-alloy margins and eventually influence steelmaking input costs if producers cannot fully absorb the increase.

Moil Output Rose but Sales Stayed Largely Stable

Moil produced around 1.9mn t of manganese ore during the April 2025-March 2026 fiscal year, up 5.6% from the previous year. Sales volumes remained broadly stable at 1.58mn t over the same period.

The company produced around 164,000t and sold around 202,000t in March, despite supply chain constraints. This suggests that Moil maintained shipments, but broader market availability remained tight enough to support a strong April price increase.

For the Indian manganese market, the key issue is whether import constraints ease or domestic production can respond quickly. If supply remains tight, ferro-alloy producers may face continued cost pressure into the next pricing cycle.

The Metalnomist Commentary

Moil’s April price increase shows how quickly manganese ore pricing can react when domestic supply and import flows tighten together. For India’s steel value chain, manganese security is becoming more important as ferro-alloy costs remain exposed to both local mining output and global logistics risk.

Euro Manganese and Blue Grass Chemical Ink Offtake Agreement for High-Purity Manganese

Blue Grass Chemical

Strategic Partnership to Boost U.S. Supply Chains

Euro Manganese, a specialty manganese products developer listed in both Australia and Canada, has successfully secured its second offtake agreement this month. The company announced yesterday that it will supply high-purity electrolytic manganese metal (HPEMM) from its Chvaletice project in the Czech Republic to U.S.-based specialty chemicals producer, Blue Grass Chemical. This agreement marks another milestone for Euro Manganese as it continues to solidify its presence in the global manganese market.

Chvaletice Project: A Sustainable Approach to Manganese Production

The Chvaletice Project, a unique recycling initiative by Euro Manganese, focuses on reprocessing old tailings from a decommissioned mine. Recently, the company completed the commissioning of its plant, which boasts a capacity to produce 32 kg/day of HPEMM and 100 kg/day of high-purity manganese sulfate metal (HPMSM). This innovative project not only addresses the demand for sustainable manganese production but also contributes to the circular economy by utilizing previously discarded resources.

Offtake Agreement Details and Future Deliveries

The newly signed offtake agreement between Euro Manganese and Blue Grass Chemical is set to cover a portion of Chvaletice’s HPEMM output. Deliveries are expected to commence as soon as Chvaletice begins production, contingent upon Blue Grass Chemical's successful supply-chain qualification. This partnership highlights the growing demand for high-purity manganese products, driven in part by companies seeking to align with the U.S. Investment Reduction Act's compliant supply chains.

Rising Demand and Future Prospects

As the market for high-purity manganese continues to expand, Euro Manganese is seeing increased interest in its HPEMM. Earlier this month, on August 19, the company signed a non-binding offtake agreement with Wildcat Discovery Technologies, a U.S.-based battery technology developer. This series of agreements underscores Euro Manganese's strategic positioning within the global supply chain for critical minerals, particularly in response to evolving regulatory and market demands.

Moil Sets Record Manganese Production Amid Market Challenges

Moil

Indian state-owned enterprise Manganese Ore India Limited (Moil) has achieved unprecedented levels of manganese ore production. In October, Moil's output reached about 147,000 tons, a substantial 32% increase compared to the same month last year. This surge in production reflects a broader trend for the fiscal year April 2024 to March 2025, during which the company produced a total of 1.01 million tons, representing a 10% increase from the prior year.

Production and Market Dynamics

The increase in manganese ore production comes at a time when the global market faces significant volatility. Moil’s strategic ramp-up in production aligns with rising demand and tight supply dynamics. In October alone, the company sold 100,000 tons of ore, marking a 21% increase from the previous year. Over the first seven months of the fiscal year, Moil sold 850,000 tons, surpassing its sales records from the previous year due to constrained market supplies.

Pricing Adjustments

In response to market conditions, Moil adjusted its pricing strategy. The price for ferro-grade material with a manganese content of 44% and above was reduced by 7% from October levels. Additionally, prices for ore with less than 44% manganese content and for 25% and 30% silico-grade ore and fines saw a reduction of 1% from the previous month's prices.

This proactive approach in production and pricing reflects Moil's adaptation to the evolving market landscape, ensuring its position as a key player in the global manganese market.

South32 Gemco Manganese Exports Resume After Cyclone Megan Recovery

South32

South32 Gemco manganese exports restarted as the Australian metal producer shipped its first ore cargo since early 2024 from the Northern Territory mine. The South32 Gemco manganese exports resumption follows extensive recovery operations after Cyclone Megan damaged the export wharf and flooded mine areas in March 2024, forcing a four-month suspension that disrupted global manganese supply chains and affected key customers including GFG Alliance's Tasmania ferromanganese plant.

Production Recovery Targets Pre-Cyclone Output Levels

South32 Gemco manganese exports began with the loading of 56,606 tonnes aboard the Singapore-flagged Stenia Colossus on May 19th, bound for Tianjin, China according to marine analytics firm Kpler. A second shipment of 54,078 tonnes will depart on the Panamanian-flagged Loch Crinan on May 28th, demonstrating operational momentum recovery. These initial shipments mark the end of a 15-month export hiatus that severely impacted Australian manganese supply to Asian steel markets.

Meanwhile, South32 plans production ramping at Gemco's 6 million tonne annual nameplate capacity facility throughout the 2025-26 financial year. The company achieved 5.9 million tonnes production in 2022-23, the last complete year before Cyclone Megan disrupted operations. Northern Territory government projections indicate 5 million tonnes expected production over the coming year, though South32 has not released official 2025-26 guidance.

Customer Supply Chain Disruptions Highlight Market Dependencies

However, the extended Gemco shutdown created severe supply chain disruptions for downstream customers dependent on Australian manganese ore. GFG Alliance's Liberty Bell Bay ferromanganese plant in Tasmania moved to limited operations on May 19th due to manganese ore supply shortages. This operational reduction demonstrates the critical importance of Gemco's production for regional ferromanganese manufacturing capabilities.

Therefore, the export resumption addresses urgent supply needs across Asia-Pacific steel and ferroalloy markets that experienced significant manganese ore shortages during Gemco's closure. Chinese steel mills particularly depend on Australian manganese imports for steel production, making Gemco's recovery essential for regional supply chain stability. The mine's strategic location in Northern Territory provides efficient shipping access to major Asian industrial centers.

Infrastructure Recovery Enables Full Operational Restart

Furthermore, South32 completed extensive infrastructure repairs including export wharf reconstruction and comprehensive mine dewatering operations during January-March 2025. These recovery investments ensure sustainable long-term operations while improving resilience against future extreme weather events. The company's commitment to full production restoration demonstrates confidence in manganese market fundamentals and customer demand recovery.

As a result, Gemco's operational restart strengthens Australia's position as a critical manganese supplier to global steel industries while reducing supply chain vulnerabilities exposed during the extended shutdown. The successful recovery operations establish operational precedents for managing extreme weather impacts on mining infrastructure. Market participants welcome the supply restoration as global steel production continues recovering from pandemic-related disruptions.

The Metalnomist Commentary

The resumption of South32's Gemco manganese exports illustrates both the vulnerability of critical mineral supply chains to extreme weather events and the interconnected nature of global steel production networks. The 15-month disruption's impact on downstream ferromanganese producers like Liberty Bell Bay demonstrates how single-mine shutdowns can cascade through entire industrial sectors, highlighting the need for greater supply chain diversification and resilience planning in critical minerals markets.

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.

Moil Adjusts October Manganese Ore Prices Amid Declining Demand in India

Manganese Ore India

India's state-owned mining company, Manganese Ore India Ltd. (Moil), has announced a price reduction for its October manganese ore shipments, reflecting weakened demand in the domestic steel and manganese alloy sectors. Moil has reduced prices for ferro-grade ore, which contains 44% or higher manganese content, by 20% compared to September's levels. However, the company raised prices for lower-grade ores, including those with less than 44% manganese content, and silico-grade ores with 25% and 30% manganese content, by 5%.

The Market Impact of Moil's Adjustments

Moil's pricing decisions are often a key indicator of trends in India's broader manganese market. As a major player in the Indian ore market, Moil's price changes typically influence other suppliers, who are likely to follow suit and adjust their prices in response to Moil's lead. In the April-June quarter, Moil produced 470,000 tons of manganese ore, marking an 8% increase year-on-year, while its sales also grew by 15%, reaching 453,000 tons during the same period.

China’s Jingxi Daxinan Resumes Manganese Flake Production Post Lunar New Year

Manganese Flake

Equipment Maintenance Over, Firm Restarts Output of 30-40 t/d Flake Production

China's Jingxi Daxinan, a major producer of manganese flake, has resumed its production of 30-40 tonnes per day (t/d) this week, following a scheduled equipment maintenance during the lunar new year holiday. This marks the firm's return to full operations after halting production in late January, just before the holiday.

Recovery of Manganese Flake Production and Rising Prices

Jingxi Daxinan’s smelter, located in Jingxi city in south China's Guangxi province, has a capacity to produce 20,000 tonnes per year. The production stoppage, part of a broader industry trend, was primarily due to routine maintenance and production losses faced by some smaller producers. Many smaller manganese producers without in-house mining and power generation facilities halted production to address similar challenges.

Post-holiday, manganese flake prices have started to show signs of recovery, driven by the rising prices of substitutes in the ferro-alloy market. This upward trend is supported by higher prices of imported manganese ore, which have pushed up the costs of ferro-alloy substitutes, leading producers to raise prices.

Domestic Price Increase and Market Outlook

On February 7, 2025, domestic prices for 99.7% grade manganese flake were assessed at 12,500-12,700 yuan per tonne ($1,715-$1,742/tonne) ex-works, reflecting a modest increase of Yn100 per tonne compared to February 6. This increase aligns with the broader trend of rising costs for manganese ore substitutes, which have been influenced by the higher costs of imported manganese ore.

With production now resuming, the market anticipates further shifts in supply and price dynamics. As more producers resume output, manganese flake production is expected to stabilize, supporting the growing demand from industries that rely on manganese for ferro-alloy production.

China's Yunnan Jiangnan Halts Manganese Production Amid Environmental Inspections

Chinese manganese producer Yunnan Jiangnan has suspended its daily output of 90-100 tons of manganese flake in response to recent environmental inspections. According to a company source, the timeline for resuming production remains uncertain. The smelter, situated in Wenshan city in southwest China's Yunnan province, boasts an annual production capacity of 50,000 tons of manganese flake.

The suspension could impact not only Yunnan Jiangnan but also other smelters across China. The country's manganese market is experiencing tight supply conditions, contributing to the recent surge in manganese ore prices over the past few weeks.

Compounding the situation, South32's GEMCO mine in Australia has also halted production due to cyclone damage, further destabilizing the manganese market. This disruption has led to decreased manganese ore inventories at ports and smelters, fueling expectations of continued price increases among market participants.

The production halt at Yunnan Jiangnan is closely tied to the Chinese government's intensified environmental regulations, which are expected to similarly affect other industries.

India Manganese Ore Duty Removal Cuts Ferro-Alloy Costs

India Manganese Ore

India manganese ore duty removal will lower raw material costs for domestic ferro-alloy producers after the government scrapped the 2.5% basic customs duty on imported manganese ore and concentrates.

India manganese ore duty removal is expected to reduce producer costs by around 1.25-2.5%, improving margins for silico-manganese and ferro-manganese smelters. The change also makes imported ore more competitive against domestic material.

India manganese ore duty removal comes as alloy producers face pressure from high ore and power costs. Lower import costs could strengthen export competitiveness and encourage producers to increase utilisation where market demand allows.

India imports around 5.5mn-6.5mn t/yr of manganese ore, making overseas supply structurally important to the country's steel and ferro-alloy industry.

Lower Ore Costs Strengthen Ferro-Alloy Producers

South Africa dominates India's manganese ore imports because its high-grade and chemically consistent material performs well in submerged-arc furnaces.

India also imports significant volumes from Gabon, Australia and Ghana. Around 2.03mn t entered the country during the first quarter of 2026.

Removing the customs duty directly improves the economics of imported feedstock. Producers can lower blended ore costs or increase the proportion of higher-grade imported material.

Silico-manganese and ferro-manganese producers should benefit most. These alloys are essential deoxidising and alloying inputs for structural steel, automotive steel, rail products and special steels.

Steel production typically consumes around 6-9kg of manganese per tonne of crude steel, linking ferro-alloy demand closely to Indian steel output.

High input costs had already encouraged some producers to shift from 60-14 silico-manganese toward higher-value 65% grades and 70-75% ferro-manganese.

Lower ore costs could improve the competitiveness of standard grades again while giving producers greater flexibility across their product mix.

The measure could also narrow India's export cost disadvantage against Malaysia. Malaysian ferro-alloy producers benefit from lower electricity costs, but cheaper manganese ore and Indian labour costs could reduce the gap.

Domestic Ore Producers Face Greater Import Competition

The policy creates pressure for domestic manganese miners because cheaper imports will increase buyers' negotiating power.

Moil could face greater competition, particularly from high-grade imported ore used by coastal smelters with easy access to ports.

Domestic prices may increasingly move toward import parity as smelters compare local supply directly with landed overseas material.

This could create inventory pressure for domestic miners if buyers increase the proportion of imported ore in their furnace blends.

However, the impact will vary by location and ore quality. Moil remains competitive for inland customers because domestic freight from ports can offset part of the import advantage.

Its material also remains suitable for applications where very high-grade ore is not required.

The broader policy direction is clear. India is prioritising lower industrial input costs to strengthen steel and manufacturing competitiveness.

Manganese has also been identified alongside lithium, cobalt and nickel under India's National Critical Minerals Mission, increasing its importance in the country's wider supply-chain strategy.

The Metalnomist Commentary

India is choosing downstream competitiveness over protection for domestic ore miners. The biggest beneficiaries will be ferro-alloy producers that can combine cheaper imported manganese with efficient power and higher furnace utilisation.

EU Manganese Flake Prices Surge Amid Ningxia Tianyuan Production Cuts

Ningxia Tianyuan

European manganese flake prices soared last week, driven by supply concerns following Chinese producer Ningxia Tianyuan's announcement of a production plant suspension. The situation was further compounded by a decision from China's manganese industry alliance to implement production cuts.

Early last week, Ningxia Tianyuan declared its plan to halt operations at a plant with a capacity of 100,000 tonnes per year. The company has yet to specify when this suspension, intended for equipment upgrades, will commence.

In response, prices within China surged immediately. As of June 20, the ex-works price for 99.7% minimum manganese flake rose to 13,700-13,900 yuan per tonne, marking a 300 yuan increase since June 17.

Export prices from China also saw a rise. The supply concerns, exacerbated by high freight costs, have further pressured European prices upward. By the end of last week, freight rates had escalated to $220-230 per tonne, up from $140 a few weeks ago and significantly higher than the $70 per tonne rate earlier this year, according to traders.

This current pricing dynamic is likely to deplete manganese flake stocks within Europe, as many traders are reluctant to purchase at current elevated prices, doubting their ability to sell at a profit by the time shipments arrive in October. Shipping times have also reportedly lengthened, now ranging from 60 to 75 days.

One market participant expressed hesitation in offering material, preferring to ensure he can meet the demands of his existing customers.

European market players are wary of committing to long-term purchases at these heightened prices, opting to sell existing stocks without acquiring new shipments from China.

Consequently, manganese flake inventories in Europe are expected to diminish soon, potentially exerting additional upward pressure on prices.

Simultaneously, production in China is anticipated to decline. Several market participants have reported planned production cuts following a recent meeting of the manganese industry alliance.

The manganese industry alliance, which includes Ningxia Tianyuan, South Manganese, Wuling Manganese, and seven other producers, agreed last weekend on near-term production guidelines. These members account for 80-90% of China's total production capacity, producing between 130,000 and 150,000 tonnes per month.

However, it remains uncertain whether the alliance will fully implement the proposed production reductions.

Meanwhile, subdued demand within Europe may also act as a counterbalance to price increases. The high European prices are primarily a result of supply-side factors, with demand from Europe's steel industry remaining unchanged. It remains unclear whether there is sufficient buyer interest within the European steel industry to sustain prices at their current levels.