Hebei Steel set its purchase price for silico-manganese alloys at 7,850 yuan ($1,131) per tonne for August delivery, down by 50 yuan per tonne from the price for July-delivery cargoes, market sources told Fastmarkets on Monday August 5.
The tender result, which was supposed to be released in the week ended on Friday August 2, did not come out until August 5 because of extended negotiations between domestic alloy plants and China's second largest steel mill Hebei Steel. The alloy plants wanted to finalize the August tender price at 7,900 yuan per tonne while Hebei Steel insisted on a 50-yuan-per-tonne cut. The latest adjustment to the monthly purchase price for silico-manganese, which was generally in line with market expectations, was the inevitable result of a declining spot price and rising alloy production in July, market sources said. Fastmarkets assessed the price of silico-manganese 65% Mn min, max 17% Si, in-whs China, at 7,350-7,500 yuan per tonne on August 2, down by...