It is reported that FeSi price in Southwest China now remains firm. Most producers eye a tight supply and demand balance as electricity supply is restricted during low water period. This situation is expected to continue until this month end. Producers will decide whether to raise prices next month based on market operation.

According to some producers in Yunnan increasing river flow has solved electricity supply problem, but inconvenient transportation has led to high costs. Though FeSi price has climbed compared with Mar level, it still stays below the costs. Producers now only maintain supply to regular customers amid a tight supply.

Despite nice transactions, retail customers dominate the sales without mass orders from steelmakers hence there is no sign of market recovery. It will take some time for the stimulus package to influence this region. As a result, FeSi price will keep stable until April end providing no impact occurs.


(Sourced from.Mysteel.net)
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