European Stainless Makers Set Ferrochrome Price Flat for Oct-Dec

European stainless steel makers agreed with South African ferrochrome suppliers in setting ferrochrome price for October-December almost flat as July-September, according to Japanese stainless steel maker. Suppliers were willing to raise the price but they reached compromise due to slow economy. Japanese stainless steel makers are still in price negotiations with South African suppliers. The price is now likely to keep flat from July-September.

Japanese stainless makers agreed in ferrochrome purchase price for July-September at CIF 138 US cents per pound of chrome, down by 6 US cents from April-June. This was the first price down in late 2 quarters though the price represented higher by 42% than a year earlier.

South African suppliers appealed cost up for electric power but seem to have accepted stainless makers’ offers when stainless steel makers recently entered supply adjustment. Japanese stainless steel makers recognize the market condition is even severer in Asia than in Europe and continue price cut requirement to ferrochrome suppliers. However, the price is expected to be set at the level almost as same as European stainless makers as usual.