Foreign Ferro-chrome Offers Impose Pressure on European Market Prices

European ferrochromium market prices remain stubbornly high. Buyers either delay their procurement or attempt to reduce consumption. Market sentiment has become increasingly pessimistic.

High carbon ferro-chrome (65%Cr; 6-8%C) is being offered at $2.88-3.25/lb Cr DDP; while low phosphorus alloys are being offered at $3.1/lb Cr DDP. Enterprises are trying to replace these alloys with lower quality alloys (50%Cr or 60-63%Cr). With the summer lull looming and no apparent material shortages, market participants agree unanimously that prices will fall soon. Widespread distribution of alternative products will also help lower prices further. High carbon ferrochromium (63%Cr) is available now at $2.25/lb Cr DDP and Indian alloys (60%Cr; 2.5-4%Si) at $1.55/lb Cr CIF (ships in June) or $2/lb Cr DDP Europe.

Low carbon ferrochromium (65-70%Cr, 0.1%C) is also rarely traded. Prices remain at $5.8-6.4/lb Cr DDP. The recent pressure on the market from imported products could be decisive. Low carbon ferrochromium (70% Cr) is being offered in India at $3.6/lb Cr CIF, it was learned.