[Ferro-Alloys.com]In recent period, price of silicon manganese in China kept tumbling on the heel of results of August bidding from main steelmakers. In fact, different cash flow situation and stockpiles among silicon manganese producers contributed to various adjustment ranges. Take northwest for instance, some put the ex-work price edge down to as low as RMB4,750/mt by cash while some put as high as RMB4,900/mt by cash for regular clients and long term contracts. As for Chinese traders, continuous downtrend sale and extend payment period of steel mills allowed them to hard to guarantee profit, and most of them have to cut purchase volume or settle the quantity according to the payment of mills. What’s more, potential risk made traders put inquiry lower than silicon manganese producers anticipation.

In fact, the current sale price almost touched the lowest level in nearly ten years, especially in recent period the price kept falling. Severe competition forced to some silicon manganese factories to shut down, and some were struggling to remain operation with reducing output, while those with strong capital and regular clients were still expanding output. However, the sharp falling in the price of August bidding of mills also exerted pressure on those companies with huge advantage. It is predicted that pick-up road for silicon manganese in the near future would be tough given military parade in September 

• [Editor:Sophie]