[ferro-alloys.com]2018 China Ferro-Alloys Industry Chain Annual Conference & Market Outlook of Manganese, Chrome , Nickel Ore and Ferro-Alloys were held by Ferro-Alloys.com. China Ferroalloys Industry Association, China Chamber of Commerce of Metals Minerals & Chemicals Importers & Exporters, Tianjin Tailianda, Tianjin Huarong, Tianjin Zhenhong and Weiwang Logistics supported the conferences. The sponsors included: Rishengzhibo, Dandong Lifeng, Millioin Link, Tengfei, and Tianshun. In the afternoon of registration day, Shanghai Zhongqi Future held China Ferroalloy Investment Forum with China Ferro-Alloys.com. Zhengzhou Commodity Exchange support the Forum. The guest included: Mr Yuan Weijie, Manager of Ferroalloys in Non-Agriculture Division of Zhengzhou Commodity; Ms Huang Huiwei, Analyst of Black series product of Shanghai Zhongqi Future Institution; Mr Zhao Hongtao, General Manager of Tianjin Zhongyun International Trade CO,. Ltd; Mr Ju Dianming, Vice President of Supply Chain Division in CMST Development Co,. Ltd; Mr Tian Yawei,Silicon product Analyst.

Yuan Weijie’s report theme was Introduction to Current Operation of Ferroalloys Futures. He introduced basic knowledge of ferroalloys futures and future characters. Then, he told the latest situation of rule modification. The adjustment plan of newly increased ferrosilicon warehouse premium will start to be carried out since SF1907 contract. The adjustment plan of ferrosilicon warehouse will start to be carried out since SF1907 contract. The adjustment plan of manganese silicon warehouse premium will start to be carried since SM1911. The adjustment plan of manganese silicon warehouse will start to be carried out since SM1911. The delivery unit of 1901 contract will change from 35 tons to 5 tons. The duration of ferrosilicon warehouse entry will be modified from 30 days to 90 days. Besides, he introduced recent ferroalloy future operation. Both ferrosilicon trading volume and its storage volume increased significantly, and so did the customer’s amount. Both manganese silicon trading volume and its storage volume kept stable, and so did the customer’s amount. The settlement prices of ferrosilicon and manganese silicon are related to merchant prices. Meanwhile, he also introduced future application, future reward, future hedging and other professional operation. It’s necessary to master the basic knowledge of future goods and product type. The future price is influenced by information. It could be used as reference by the enterprise.

Huang Huiwen’s report theme was Analysis on Steel Situation from 2018 to 2019. She introduced the situation of steel in the view of supply, demand and cost. She also made forecast on 4^th quarter market and 2019 market. The restriction of steel output change the supply-demand situation. The restriction mode was no longer sweeping approach. Instead, the main measure in steel market was output restriction in winter in 4^th quarter. She introduced the output restriction and furnace starting situation in Hebei Province. The demands from downstream industry varied, and its cost was influenced by new national standard of screw-thread steel. She also analyzed the iron ore market. The increasing volume of Vale will be from S11D project, its increasing volume will be 15 million tons. The increasing volume of BHP will be from Silvergrass and Pilbara Mining zones, its increasing volume will be 8 million tons. Rio Tinto and FMG output will remain the same in the future. Recently, the steel price dropped, the profit reduced. In short period, the steel price will keep in high level. In longterm, the steel price will be on pressure on declining. In 2019, the steel price may drop, the trend of roll steel price will be different from rebar price trend

Zhao Hongtao’s report theme was Analysis and Outlook of Market of Silicon Manganese. He introduced the operation situation of his company. Tianjin Zhongyu has made long term strategic partnership with several famous foreign mining, such as: OM Tshiphi(s) PTE LTD, Asia Minerals and so on. Meanwhile, the company makes long period cooperation with many international commodity merchants, including Glencore International AG. The main product includes all kinds of mainstream ore types and mainstream specification. Besides, the company makes long term cooperation with several large scale steel plants and provide ferroalloys with good qualities. The cooperation partners cover in East China, North China, Northwest China, Northeast China and so on. The annual trading volume is nearly 100 thousand tons. The main products are silicomanganese alloys and high silicon silicomanganse alloys. The company always pays attention to future silicomanganese alloy,and positively explore business mode of spot and future combination. The company has participated in silicomanganese contract delivery. Besides, Tianjin Zhongxi is also engaged in coke export and domestic trade. In 2018, the total trade volume of coke was 200 thousand tons.

Then, the market review of Silicomanganese industry and case introduction of spot & future combination started. In 2018, the price of Silicomanganese went up. The spot price used to reach 10000 RMB/T, the future price in 1801 contract used to be more than 9000 RMB/T. They were all the highest level in the last few years. Then, the price fell down quickly. In May and June, they reached the lowest level. After that, the price went up steadily. Both supply and demand were in high level. Influenced by national industry policy, silicomanganese alloys plant expanded their capacity continually. The newly added capacities could be put into production in 2018. In November and December, the silicomanganese capacities will be released. The company includes: Xiongweiguangda, Jilin Alloy, Yonganhengda, Dalang and so on. From January to October, 2018, the monthly average output of silicomanganese increased by 37% year on year. In October, the silicomanganese output was 919.8 thousand tons nationwide. The output in Inner Molgolia was 323.1 thousand tons, the output in Ningxia was 186.7 thousand tons, the output in Guangxi was 127.4, the output in Guizhou was 72 thousand tons, the output in Yunnan was 37.3 thousand tons, and the output in Chongqing was 34.7 thousand tons.

Ju Dianming’s speech theme was Secured Library of China National Materials Storage and Transporation Corporation (CMSTD) promotes development offutures delivery of ferro-alloys. CMSTD has logistics parks and branch agencies in more than 20 provinces. The total floor space is 11 million squre meters. The warehouse area is 2 million squre meters. It leads the domestic storage industry. The company has 75 railway special lines. It relies on national main line railway and water transport lines to establish its own transport network layout. It has more than 20 kinds of good delivery qualifications, such as: sugar, ferrosilicon, silicomanganese, copper, aluminum, plumbum, rubber, PVC, PE, PP and so on. It’s one of the most important future good delivery operation enterprise. CMSTD has delivery of library in Newport Branch, Tanggu Branch, Tianjin Lutong and Nanjing Binjiang. It is now preparing for 1901 contract delivery. In order to serve for enterprise, CMSTD provides comprehensive logistics solution in whole journey. It also pushes forward 3 year transporation adjustment action plan, ferroalloy multimodal transport business and so on. He listed operation situation and solution of cooperative enterprises, and company’s future programme. In the future, the company will focus on ferroalloy delivery business, and expend its service to provide more professional and more thoughtful comprehensive logistics services for customers.

Tian Yawei’s report theme was Ferrosilicon Market Review and Outlook. He analyzed ferrosilicon market situation, concentration layout of ferrosilicon enterprises operation, export market, tariff transition, increasing crude output ,and magnesium market. He also introduced the factors that influence market. At present, the domestic ferrosilicon plants are in Ningxia, Qinghai, Inner Mongolia, Gansu.  The domestic large ferrosilicon enterprises include: Northwest Tengda, Junzheng Group, Erdos and so on. In 2017, the total ferrosilicon capacity was 6.6 million tons. It concentrated on Inner Mongolia, Qinghai, Ningxia and so on. From 2008 to the end of 2016, the export tariff ratio increased to 25%. The domestic ferrosilicon export was prevented. In recent years, foreign ferrosilicon capacity has been released(Malaysia, Russia, Iran, Norway and so on). China is being on pressure on ferrosilicon export. After the tariff measure was carried out, ferrosilicon smuggling ran wild. In the second half of 2016, the custom seized a large amount of smuggled ferrosilicon. The situation brought to the forefront. The ferrosilicon smuggling volume decreased. In 2017, the export tariff ratio was decreased to 20%. It promoted export volume. In the first three quarter of this year, the total export volume exceeded the total export volume in 2017 (421 thousand tons). The import volumes from Japan, South Koera, India, U.S were both exceed the whole volume last year. The influence factors: policy, electricity price, exchange rate, technology, environmental protection, raw material cost, logistics, labor and management, market demand, competition and so on. The domestic ferrosilicon price kept stable from early period of 2018 to June,  the situation of purchase from steel plants was in good condition.

• [Editor:王可]