Domestic Ferrochrome Market Remained Stagnant in Mar 20, 2018

Ferro-alloys.com: The offer price of ferrochrome by major ferrochrome plants in Inner
Mongolia is at 7800-7900RMB/T Cr50basis today, 300RMB lower compared with the price at the
beginning of Mar 2018. Due to poor demand from major stainless steel mills in China, it is
easy to understand that the fall of FeCr price, as one raw material of producing stainless
steel. Also, last two weeks saw the fall of chrome ore price in China ports, which is the
main raw material to produce ferrochrome. In a word, with poor demand from stainless steel
mills and? the fall of chrome ore price in China ports, Chinses FeCr price remained weak.

On the other hand, price of imported FeCr especially SA FeCr remained strong, unlike
domestic FeCr market. It is mainly attributed to the robust trend of rand appreciation,
which supports the price of FeCr and chrome ore in the past several months. According to one
FeCr supplier in SA, the price of SA FeCr will remain strong and they have signed long-term
contracts to supply FeCr in a healthy way.

• [Editor:Zhao Xiaobo]