Metallic Silicon Market Price in Gradual Uptrend

Metallic silicon’s market price is edging upward. Chinese producers presently offer US$ 2,540-2,570 per tonne for metallic silicon #553 (98.5% or more purity) against Japanese buyers. The offer price has surged for 2 weeks in a row and upped by US$ 100 since early November.

Rainfall significantly decreases in Fujian Province and Guangdong Province of China where many metallic silicon makers are located. Electric power supply from hydropower plants is decreasing and many metallic silicon makers are forced to suspend operations. Chinese dealer source says operating makers are raising their offer prices and the market price is likely to keep upward.

Meanwhile, secondary aluminium alloy makers are hurrying to put higher material cost on the alloy price since they use metallic silicon as additive. Chinese current offer price of metallic silicon equals to 15-20 yen cost per tonne of secondary aluminium alloy, based on current yen exchange rate.