Spot offers of 75%-Si ferrosilicon in Asia remained under pressure on prevailing weak demand and intense competition from indirect shipments via Vietnam, sources said Thursday.
Shipments of Chinese material via Vietnam evade China's 25% export tax, sources said.
Thursday's Chinese spot price assessment of 75%-Si ferrosilicon was $1,050-$1,070/mt FOB China, down from $1,060-$1,080/mt last week, while the Japanese spot import price remained at $1,020-$1,030/mt CIF Japan, unchanged from a week ago.
A northwest China-based trader kept her offers steady at $1,150/mt, while a south China-based trader heard offers around $1,050/mt FOB and a northwest China-based end-user heard offers at $1,050-$1,060/mt FOB, down about $20/mt from last week.
"I have no inquiries and demand remains weak," the northwestern Chinese trader said. "The port issue is a problem for exporting. Lianyungang and Qingdao are not as convenient as the usual Tianjin port in terms of the shipping schedule."
Her offers delivered to Lianyungang or Qingdao port were at Yuan 4,900/mt ($766/mt), unchanged from last week.
The northwestern Chinese trader said Tianjin port has labeled ferrosilicon as a dangerous cargo and had not allowed it to be shipped from Tianjin after a recent explosion there.
"I did not pay attention to the market as I have no inquiries," the southern Chinese trader said. "However, I am hearing offers are still falling; offers for the cheaper indirect shipments via Vietnam have also slipped due to weak demand."
The trader cited hearing offers around $1,050/mt FOB China for direct shipments from China, down from around $1,070/mt last week, and around $860/mt FOB Vietnam for indirect shipment from Vietnam, down from around $900/mt last week.
In Japan, import prices remained steady amid thin trade, sources said.
Ferrosilicon prices were flat, with offers and buy indications unchanged from recent weeks, a Japanese trader said.
