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Ferroalloys Chinese-made lose in the price

Despite the active development of the Chinese industry in recent years, it is here fully felt unstable economic situation in the world. Not long ago, the trend of falling prices and reduced production capacity touched the industrial complex associated with the release of lower-grade ferrotitanium. Already last week, the price of this raw material has fallen by nearly six hundred yuan. Now the spot value of the Chinese ferroalloy production is around ten thousand yuan per ton. This trend is primarily due to the falling value of aluminum powder, which is used in the manufacture of titanium ferroalloy as a constituent ingredient. It would seem that production workers need to be happy, because the decline in prices on raw materials threatens to generate more revenue. However, it is actually much more complicated and deeper. In recent years, fell sharply the demand for such products due to the unstable situation in the steel products market. After all, most of ferroalloys used as alloying additions in the production of high-quality special steel. With the reduction of capacity and reduction of output of the sector, the fall in demand for raw materials leads to an increase in inventories and a drop in the price of ferro-alloys. Given the complexity of the production process of the like product and the increase in energy prices, a sharp drop in production when the market value of the finished product would be clearly unprofitable. It is this fact are most concerned about the Chinese industrialists.

Now ferrotitanium low quality with the percentage of the titanium proportion of from twenty to forty percent is produced thermally using aluminum. It allows you to recover aluminum powder and titanium iron oxide rich share of titaniferous magnetite concentrate ore type. Ferroalloy quality depends on the purity of the final product, which are inevitable impurities of various types of components of silicon, copper and aluminum. Such a time-consuming and complicated process, as getting a quality of ferrotitanium assumes sufficiently large monetary investments, so a further decline in the market value of the finished product will lead to the loss of such a production.

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