Ferroalloy demand to remain low in Japan

摘要

Ferroalloy prices fell further in October on weak demand in Japan. SiMn (65 Mn; 16 Si) and HC FeMn (75 Mn) prices fell to some $1,045/t CIF (-$45/t month-on-month) and $1,040/t CIF ($1,090/t CIF in September), respectively. FeSi prices went down by $25/t to $1,690/t CIF. Japanese steel market fundamentals will stay unfavourable and ferroalloy requirement will remain limited. Japan's steel production is expected to fall by 7 year-on-year to 22.55 million t in Q4 2022 (+3 quarter-on-quarter). The production is being curbed by slowly growing demand from the automotive sector amid the continuous parts shortage. On top of that, export demand for Japanese steel products is reduced as global economy growth continues to slow.