Spot offers of 75%-Si ferrosilicon in Asia slipped this week amid a dearth of buying interest and competition from indirect shipments of Chinese material via Vietnam -- an unofficial channel, sources said Thursday.
The Chinese spot price for 75%-Si ferrosilicon was lowered to $1,060 $1,080/mt FOB China Thursday, down from $1,080 $1,100/mt last week, while the Japanese spot import price was assessed at $1,020-$1,030/mt CIF Japan Thursday, down from $1,100-$1,120/mt.
"There is no demand and I have no inquiries this week," said a northwest China-based trader who was offering at Yuan 4,950/mt ($777/mt), delivered from Lianyungang or Qingdao port, compared with Yuan 5,100-5,150/mt last week.
Ferrosilicon is labeled as a dangerous cargo and not allowed to be shipped from Tianjin after the recent explosion there.
The northwestern Chinese trader said export offers were around $1,130/mt FOB, down from $1,150/mt last week in view of lower domestic offers.
A northeast China-based trader, who heard offers at Yuan 4,400-4,500/mt ex-works, said: "The demand for ferrosilicon is weak and expected to stay weak till after the Lunar New Year as the Chinese steel mills' purchase season is over."
A northwest China-based end-user heard offers around $1,080/mt FOB and Yuan 4,300-4,400/mt ex-works.
"Indirect shipment of the Chinese material via Vietnam (which has evaded the 25% Chinese export tax) has affected the direct Chinese export trades," the northwestern Chinese end-user said.
A South Korean trader said: "Cargoes from Vietnam are at $920-$940/mt CIF Busan, while those from China are above $1,000/mt FOB China. The price difference is big."
Meanwhile in Japan, the spot ferrosilicon import price slipped this week as weak demand pressured sellers.
Offers for Russian 75%-Si ferrosilicon were heard at $1,020-1,030/mt CIF Japan, while Chinese ferrosilicon exported via Vietnam and other countries, evading the 25% Chinese export tax, was trading below $900/mt CIF Japan, sources said.
Trade was thin this week as steelmakers had sufficient inventories and were not in the market for spot material, Japanese traders said.
