Japan Ferrochrome Purchase Price Increases for January-March

High carbon ferrochrome price is expected to increase by closely 20% in January-March. The price is highest at the moment. Japanese resource insider said Ferro-chrome makers in South Africa came to the conclusion of price negotiation with European stainless steel makers for January-March. Ferrochrome makers are seemed to fill a gap between the contract price and spot price. Japanese stainless steel makers are continuing the price negotiation. But there is high possible they can’t get off ferrochrome price hike. The purchasing price by European stainless makers increases by 9,400 yen per tonne against 18% chrome stainless products. It sounds that ferrochrome price hike behave like to pull up the stainless product price.European makers’ purchase price increased by CIF US 21 cents per pound of ferrochrome for January-March shipment from previous quarter. Japanese makers’ purchase price was CIF US 108 cents per pound of ferrochrome for October-December 2007 shipment. Japanese purchase price may be CIF US 129 cents if the price rises like Europe. Japanese purchase price continued to renew high record for April-June, July-September, which didn’t change for October-December. Japanese purchase price would increase by 55.4% for January-March compared with the same period of last year if the purchase price increases like Europe.Ferrochrome makers didn’t change the selling price for October-December when Japanese stainless makers got the red in July-September due to largely decreased output. However, ferrochrome makers requested the price hike by US 30 cents per pound for January-March shipping.Chinese stainless steel makers are increasing ferrochrome import, and keep high purchase spot price at US 150-160 cents per pound.Ferrochrome demand is expanding when Japanese stainless makers’ output is recovering and users are shifting to use chrome series products from nickel series products.