Ferromolybdenum price high
On August 3rd, the Chinese ferro molybdenum (FeMo) price went up to 100,000 yuan/mt (incl. VAT), an increase of 12% compared to the previous day.
Prices for molybdenum concentrates in the market are high, which makes it difficult for FeMo producers to realize large margins. As a consequence, FeMo production volumes drop. Meanwhile Chinese steel producers require large quantities of FeMo due to record steel production volumes.
From 2013 to 2015, affected by the global economic slowdown, FeMo demand declined. Since 2016, molybdenum prices have rebounded and have shown significant volatility. Today, it has reached the highest level in three years.
In terms of molybdenum reserves, China holds 4.3 mt molybdenum, which account for 39% of world reserves ranking it first in the world followed by the United States (2.7 mt ) and Chile (1.8 mt).
In terms of ferro molybdenum production, China is one of the largest producers with a large number of significant companies. The top 10 producers in China are China Molybdenum, JDC, Jinzhou New China Dragon, Luanchuan County Longyu, Huludao Wonful, Linghai Hengtai, Huludao Rongxin, Chaoyang Jinda, Jinzhou Xingye, and Chaoyang Boyuan.
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