which factors influence the ferro silicon price fluctuation in the market
In August, the ferro silicon price is up and down like a roller coaster ride for lots of ferro silicon suppliers and manufacturers. However, the price of ferro silicon was still stable gradually last week. So it is a good chance for steel factory and trade company. Then which factors influence the ferro silicon price fluctuation in the market. We will enjoy it to customers who are purchasing ferro silicon and help you how to purchase.
Production cost is the direct factor. Any product has production cost, due to coke, silicon and freight is rising generally recently together with strict overload check and oil price increasing in recent, ferro silicon price is rising reasonably. But some metallurgical factories still use lower raw material to produce ferro silicon, which creates ferrosilicon price fluctuation in the market.
The transportation cost and weather conditions in the process of transportation. The weather condition will have effect on the market price of ferrosilicon directly. The raining weather is relatively common in July and August, the maintenance and storage of ferrosilicon are more strict in the process of transportation. Compared to ordinary times, the transportation cost is much higher for many ferro silicon suppliers and manufacturers.
The steel price continues to rise. Recently the steel price still continue to rise, which results in the ferro silicon manufacturers raise the price continuously. Since January of 2018, the steel prices continue to rise, coking coal and coke prices are going up, steel cost is increasing rapidly, therefore the steel factory continues to raise the exwork price. A variety of factors will drive ferrosilicon alloy market requirements. Steel market has a certain influence to ferrosilicon price.
Ferrosilicon supply is tight. Since ferrosilicon spot supply is tight and the stock of ferrosilicon enterprise dries up, the ferrosilicon price rises sharply. With the substantially increase of west gold mining and metallurgy ferrosilicon offer, small and medium-sized ferrosilicon enterprise offer also follows up step by step.