Mr Li Visited the Company and Talked about Ferroalloy Development Trend in the Future

  • Friday, March 27, 2015
  • Source:ferro-alloys.com

  • Keywords:Silicon Manganese SiMn
[Fellow]In Mar, 2015, industry export Mr Li Qiang visited Chinmetal Information Tech Co.,Ltd.(CMITC), together with our editors to talk something about ferroalloys and shared his opinions on the development trend in the future.

[Ferro-Alloys.com]In Mar, 2015, industry export Mr Li Qiang visited Chinmetal Information Tech Co.,Ltd.(CMITC), together with our editors to talk something about ferroalloys and shared his opinions on the development trend in the future.

First, China intensified macro positive stimulus in 2015

In the first quarter of 2015, Chinese economy conditions didn’t changed more. Because of NPC and CPPCC in March, with spirits of each regions or departments, from the beginning of April, Chinese economy will recovery and develop steady for nearly 20 months. For example, steel market, end users of ferroalloys, in 2015, China steel production and sales will remain stable, while special steel and stainless steel will continue to increase. It is expected that, in 2015, China's crude steel output will be about 820 million tons, apparent consumption is about 740 million tons, and stainless steel output will be about 23.5 million tons.

Second, ferroalloy’s varieties became divided gradually

In 2015, Ferroalloy’s varieties became divided gradually, carbon steels’ supply and demand keep stable, while special steels’ tends to be out of balance. In 2014, China's SiMn output was 11.21 million tons, without any growth, the output of FeSi was 5.16 million tons declined nearly 800,000 tons, while FeCr was about 4.6 million tons, FeNi was 11.15 million tons, up by nearly 65%, all of them continued to increase.

It is estimated that, in 2015, the output of SiMn will be 10.5 million tons, imports of Mn Ore about 16 million tons, the output of FeSi about 5 million tons, FeCr about 4.9 million tons, and FeNi about 8 million tons.

As a whole, in 2015, the capacity and output of alloys still weak. There is no doubt that China's crude steel output hadn’t grown anymore, so did ferro alloys’ demands.

Third, ferro alloys market divided

From the market conditions of ferro alloys in 2014, we know that, the development trends of general carbon steel and special steel ware obvious in the ferroalloy industry. For SiMn, FeMn and FeSi, due to the large production capacity and difficult consolidation, the markets ware not perfect. At the same time, special steel products ware also divided obviously, while for FeMo ,FeV and FeW, because of China’s abundant raw materials, the prices ware low for a long time. FeCr, FeNi and FeNb, with raw materials should be imported, the markets picked up again.

Fourth, environment uncertainty

In 2013, the environmental protection was very perfect, while in 2014, due to the weak subsequent major policies, it was be short. Now, in 2015, with subsequent environmental policies introduced intensively, it is expected to become the best year. Such as, the new environmental law implemented, the environment tax was stable, which brought effects on the ferroalloy markets. At last, for the development of Linyi FeNi Plant and environment protection, our company invited Mr Li and discussed these questions in Qingdao, welcome people around the world to join in.

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  • [Editor:liujianwei]

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