For the Quarter Ending June 2024
North America
In Q2 2024, the North American Silicon Metal market experienced a period of stability. This equilibrium was largely influenced by balanced demand and supply dynamics, reflecting a consistent market sentiment. Key factors contributing to this stability included increased production capacities in significant regions, which helped alleviate any potential supply shortages. Additionally, robust demand from the automotive and solar panel industries supported steady pricing, while global logistics disruptions had minimal impact on the market's stability.
Focusing on the USA, the market observed the maximum price changes within the region. Throughout the quarter, the Silicon Metal price trend showcased negligible fluctuation, demonstrating a stable environment. Seasonality had a relatively muted impact, and any correlation in price changes primarily stemmed from consistent industrial demand. Comparing year-over-year data, there was a significant rise driven by enhanced economic activities and technological advancements.
However, from the previous quarter in 2024, the price change was a modest, underscoring the stabilizing effect of synchronized supply and demand forces. Examining the first and second halves of the quarter, there was no notable price difference, reinforcing the quarter's stability at 0% price change. By the end of Q2 2024, the price of Silicon Metal (4-4-1) CFR Illinois Port concluded at USD 2454/MT. This consistent pricing trajectory throughout the quarter suggests a stable and positive pricing environment, supported by underlying market fundamentals and steady demand in key industrial sectors.
Asia-Pacific
In Q2 2024, the Silicon Metal market in the APAC region experienced a marked decline in prices, driven by a confluence of factors that collectively dampened market sentiment. The oversupply situation precipitated by increased production capacities, coupled with sluggish demand recovery post-pandemic, played pivotal roles in shaping the pricing landscape. The burgeoning stockpiles, especially in key industrial sectors like automotive and electronics, exacerbated the downward pressure on prices. Additionally, heightened price negotiations among suppliers and buyers, amidst weak manufacturing data, further contributed to the bearish pricing trends. Focusing on China, which experienced the most significant price changes, the overall trends showcased a clear seasonality effect where the onset of the rainy season in production regions led to increased output. This oversupply scenario, combined with tepid demand from the downstream sectors, particularly the photovoltaic and aluminium industries, resulted in sustained price declines. The year-on-year comparison revealed a decline from the same quarter last year, underscoring a substantial downtrend. Furthermore, the quarter-on-quarter analysis depicted a decrease from Q1 2024, highlighting the persistent weakness in market conditions. The price comparison between the first and second halves of the quarter indicated a further 1% decline, reflecting consistent negative market sentiment. The quarter concluded with Silicon Metal (4-4-1) FOB Shanghai recorded at USD 2058/MT, signifying a challenging pricing environment dominated by negative trends. Thus, the pricing context for Silicon Metal in Q2 2024 has been unequivocally negative, characterized by an oversupply, lacklustre demand, and persistent downward corrections.
Europe
In Q2 2024, silicon metal prices in Europe exhibited notable stability, reflecting a balanced interplay of supply and demand dynamics. Several factors contributed to this stability, including consistent industrial activity, stable energy costs, and a relatively calm geopolitical landscape, which collectively supported a steady pricing environment. The European market has been characterized by moderate production levels and uninterrupted supply chains, ensuring that fluctuations in global trade did not disrupt the local silicon metal market. Focusing on Germany, which experienced the most pronounced price changes, the overall trend remained stable throughout the quarter. Key drivers included sustained demand from the automotive and construction sectors, despite a decline in electric vehicle sales. Seasonality did not significantly impact prices, and the correlation between supply consistency and industrial demand maintained a balanced market. Compared to the same quarter last year, silicon metal prices in Germany showcasing robust year-on-year growth. However, compared to the previous quarter in 2024, prices saw a slight decrease highlighting relative stability. Notably, the price comparison between the first and second half of the quarter showed no change, reinforcing the stable market sentiment. The quarter concluded with silicon metal (4-4-1) CFR Hamburg in Germany priced at USD 2369/MT. This reflects a generally stable pricing environment, underscoring the resilient demand and balanced supply conditions that characterized the European silicon metal market in Q2 2024. The stability seen in this quarter suggests a positive outlook for the subsequent periods, contingent on the ongoing equilibrium in market dynamics.
For the Quarter Ending March 2024
North America
The first quarter of 2024 has been positive for Silicon Metal pricing in the North America region, particularly in the United States. Various factors have influenced market prices during this period. One significant factor is the decline in steel production, which has led to a tightening of the steel supply. This reduction in supply has contributed to stability in Silicon Metal prices. Additionally, increased demand for industrial fabrication and infrastructure investment has supported the growth of the Silicon Metal market.
The pricing trends in the US spot market have displayed consistency and stability. The market has seen a modest resurgence in the scrap market, driven by increased demand, which has further supported the rise in Silicon Metal prices. Despite some economic uncertainty, buyers have approached the market cautiously, anticipating potential price increases.
In terms of seasonality, the arrival of summer has contributed to an expected recovery in demand, which is likely to drive prices upward. Overall, the pricing environment for Silicon Metal has been positive, with prices showing an upward trend. In the United States, there has been an increase in Silicon Metal prices compared to the previous quarter in 2024. Additionally, there has been an increase in prices between the first and second half of the quarter.
Asia-Pacific
The Silicon Metal market in the APAC region experienced an overall positive pricing environment in Q1 2024. The market witnessed a significant increase in prices compared to the same quarter last year. However, there was a positive growth trend from the previous quarter in 2024. Several factors influenced the market prices during this quarter. Strong demand from the downstream industries, particularly in the automotive and construction sectors, played a crucial role in driving up prices. The improving economic conditions in the region also contributed to the positive market sentiment. Additionally, supply constraints and production disruptions in some countries further supported the upward price trend. China, the largest producer and consumer of Silicon Metal in the region, experienced the maximum price changes. The market in China demonstrated overall stability with marginal price revisions due to the unbalanced demand-supply gap. While some traders faced difficulties in procurements, others dealt with high inventories. The Chinese metal market showed a complex situation, with some manufacturers and consumers cutting their production due to issues like lack of raw material supplies and low consumption rates.
Europe
The Silicon Metal market in Europe experienced a positive pricing environment in Q1 2024, with prices showing an overall increasing trend. Several factors influenced market prices during this period. The European Union's push for environmentally friendly steel production increased concerns among steel manufacturers, leading to a rise in Silicon Metal prices. Additionally, manufacturers called for lower costs of renewable energy sources to offset rising electricity expenses, contributing to a positive pricing sentiment. In Germany, the pricing dynamics for Silicon Metal showed significant fluctuations. Prices remained steady in the local market during the last week of February, despite concerns about the steel industry and the deteriorating economic situation. However, prices declined slightly in the third week of February due to decreased usage of Silicon Metal by the downstream construction sector. Overall, the pricing trends for Silicon Metal in Q1 2024 exhibited a positive sentiment. There was an increase in prices compared to the previous quarter, and a 1% increase in prices between the first and second half of the quarter. The increasing prices reflect a growing demand for Silicon Metal and positive market conditions in Europe. However, it is important to note that these price changes were influenced by various factors and may vary in different countries within the region.
For the Quarter Ending December 2023
North America
In the intricate tableau of Q4 2023, the Silicon Metal market in North America unfurled its narrative with compelling intricacies. Marked by robust dynamics, the quarter witnessed a confluence of factors shaping the pricing landscape. The absence of reported plant shutdowns underscored operational continuity, fostering a resilient market.
Focusing on the USA, the nucleus of market dynamics, three pivotal elements defined the pricing paradigm, delving beyond superficial narratives. Meticulous trend analyses, nuanced seasonality assessments, and intricate correlation scrutiny unveiled the nuanced underpinnings of market forces. Reflecting this complexity, Silicon Metal (4-4-1) CFR Illinois Port in the USA exhibited a noteworthy 7% surge from the preceding quarter, attesting to the adaptive resilience of the market.
A discerning examination revealed a 2% price divergence between the initial and latter halves of the quarter, capturing the nuanced evolution of market forces. Culminating this exploration is the quarter-ending price of Silicon Metal (4-4-1) CFR Illinois Port in the USA, standing at USD 2220/MT. This singular figure encapsulates the intricate dance of market forces that defined the Silicon Metal landscape in North America during the conclusive quarter of 2023.
APAC
Amidst the intricate tapestry of Q4 2023, the Silicon Metal market in the APAC region unfolded with distinct nuances. Marked by a resilient trajectory, the sector navigated challenges with adept equilibrium. An absence of reported plant shutdowns underscored operational stability. Delving into China, the epicentre of transformative shifts, three salient factors sculpted the pricing landscape. Robust trend analyses, meticulous seasonality evaluations, and nuanced correlation scrutiny unravelled the underlying market dynamics, surpassing superficial narratives. Reflecting resilience, Silicon Metal (4-4-1) FOB Shanghai in China exhibited a nominal 4.7% uptick from the preceding quarter, signalling adaptive market dynamics. A nuanced examination revealed a 2% pricing distinction between the initial and latter halves of the quarter, capturing the subtle evolution of market forces. Culminating this exploration is the quarter-ending price of Silicon Metal (4-4-1) FOB Shanghai in China, standing at USD 2054/MT. This singular figure encapsulates the intricate dance of market forces that defined the Silicon Metal landscape in the APAC region during the conclusive quarter of 2023.
Europe
Amidst the intricate tapestry of Q4 2023, the Silicon Metal market in Europe unfolded a compelling narrative marked by multifaceted dynamics. Striking a symphony of market forces, the quarter remained resilient, void of reported plant shutdowns, a testament to operational continuity. In the German realm, a bastion of market evolution, three paramount elements steered the pricing trajectory, each echoing a nuanced resonance. A meticulous exploration of trend dynamics, seasonality nuances, and intricate correlations unravelled the complex interplay of market forces. Silicon Metal (4-4-1) CFR Hamburg in Germany exhibited a striking 5.2% upswing from the prior quarter, emblematic of the market's adaptive dynamism. Delving deeper, a discerning analysis unveiled a subtle 2% price fluctuation between the initial and latter halves of the quarter, encapsulating the nuanced evolution of market dynamics. Culminating this exploration is the quarter-ending price of Silicon Metal (4-4-1) CFR Hamburg in Germany, standing at USD 2180/MT, a solitary figure encapsulating the nuanced dance of market forces shaping the Silicon Metal landscape in Europe during Q4 2023.
For the Quarter Ending September 2023
North America
In the US Silicon Metal market, prices remained stagnant in Q3 due to factors like low trading activity over the 4th of July holiday and short lead times discouraging bulk purchases. Downstream markets experienced seasonal slowdowns, partly influenced by temporary plant closures at US automakers. While some hoped for price stability with efforts to increase flat steel prices, others foresaw further declines due to a lack of export market support and economic concerns. In August, discussions focused on the potential impact of an automotive union strike against major US automakers, which could disrupt steel demand. Uncertainty loomed in the market due to the strike possibility. International governmental policies and rising interest rates had previously influenced Silicon Metal prices in early July, leading to price stability. September witnessed ongoing stagnation, with concerns about downstream demand and the looming auto strike. The standoff between the United Auto Workers and automakers added to the market's stability. By late September, Silicon Metal prices remained stable, with a balanced supply and demand outlook. Concerns about China's dominance in the supply of solar panels led non-Chinese producers to expand, meeting demand from the transition to green energy through partnerships and optimizations in the silicon anode sector.
APAC
In the Chinese Silicon Metal market, the prices experienced stability over the third quarter. In early July, prices remained stagnant due to sluggish downstream transactions, leading to a record-low spot price. Yunnan's production increased, while Sichuan faced power rationing. Despite challenges, many plants resumed production. By late July, prices remained stable, with subdued demand, while the Japanese market saw a decrease in import prices. In August, prices saw an upswing due to increased downstream inquiries, especially from polysilicon enterprises. However, secondary Aluminium alloy plants faced difficulties in sourcing raw materials. In September, prices remained stable despite international economic policies and rising interest rates affecting global trade. Domestic demand increased due to economic development measures. As the interest rates rose in the US and Europe, international demand decreased, leading to stable prices. The silicon wafer market experienced price fluctuations, and increased production of polysilicon led to lower silicon wafer purchases. However, lower silicon wafer prices could result in inventory build-up and potential price decreases in October, and silicon production outside China is expected to increase to meet clean energy demands.
Europe
In the European and German silicon metal markets, prices remained stable in the third quarter due to factors such as slow trading, limited overseas bookings, stretched lead times, and concerns about exceeding quota volumes. While some suppliers aimed for price increases, the demand remained weak, and large price rises were unlikely. Downstream demand in the EU was low, with buyers reluctant to purchase imported silicon metal due to long lead times and narrow price spreads compared to domestic coil. Prices in Germany remained flat in late August as low inventory levels and summer-related closures affected purchasing activity. Market participants expected prices to remain unchanged until September, when downstream mills reopened. Electrical steel prices were flat, and downstream key market participants were on vacation. The market was expected to restart in September, but buyers were skeptical about a price rise given slow demand. In the first week of September, the German silicon metal market experienced a price surge due to high downstream demand from the automotive and construction sectors. However, the economic environment and weak demand outlook in mid-September dampened expectations.
For the Quarter Ending June 2023
North America
The price of Silicon Metal showed a declining trend in the second quarter of 2023 in the US spot market amid declining economic conditions and lower downstream demand. Due to the downfall of several banks across the USA in Q2, the US government had to face pessimistic market sentiment due to the debt crisis. The worsening of the economy increased the supply-demand gap. The buyers remained in wait and watched the situation as they were expecting a further decline in price. The consumption rate decreased as the downstream construction sector showed a plunging market trend which led to a higher inventory level for Silicon Metal in the US spot market. The production rate was on a higher edge as the steel mills were performing at a firm rate despite weak demand. The market players were placing orders on need on a demand basis as they already had ambient supply, which resulted in a lower destocking rate in the USA. The local mills were forced to decrease their prices for Silicon Metal to gain large orders and uplift the trade condition.
Asia-Pacific
In the Chinese spot market, the price of Silicon Metal showed a consecutive declining trend in the second quarter of 2023. The price continuously declined due to the high inventory level amid increased production rate across Q2. The price decline of Silicon Metal created a pessimistic market sentiment in China, provoking local consumers to delay placing large orders. The spot price quota was affected by several factors, such as production quality and spot price arbitrage, with the price difference across several local mills putting downward pressure on the Silicon Metal market price. The H2 of the second quarter faced a declining economic condition that reduced the consumption rate of Silicon Metal from the downstream construction sector as the construction activity declined amid the arrival of the monsoon season and heavy rainfall across various regions of China. The declining economy provoked the buyers to shy away from placing large orders as they expect a further decline in price in the upcoming months. The production rate remained on a higher edge as the Silicon Metal manufacturing mills increased their production rate amid the high water level in Yunnan. The lower consumption rate and declining economy incited the local mills to lower their offer prices to increase their trade and receive higher bids.
Europe
The price of silicon metal across the German spot market declined in the second quarter of 2023 amid declining demand and uncertain economic conditions. The German spot market faced a bearish market trend as the inflation rate rose along with the German financial market moving toward recession. The end-user demand from the construction sector declined as the labor shortage across Europe weakened the construction activity in the German spot market. Meanwhile, the domestic inventory level maintained a higher edge as the production rate was high in the local as well as overseas Asian markets, along with the lower usage amid buyers shying away from placing large orders as they expected a further decline in price. The demand was weak in the initial phase of Q2 due to the slowdown in downstream activity amid the Easter holidays. The major market players were engaging in less destocking as they already had an ample supply of Silicon metal amid reduced activity rates. Mills was incited to reduce their price for Silicon Metal to gain an increased number of orders from local and international buyers in the German spot market.
For the Quarter Ending March 2023
North America
During the first quarter of 2023, the US Silicon Metal market experienced a decrease in market sentiment due to caution amid disruptions in the domestic financial market. In response to higher capital costs, inventory drawdowns, and a decline in earnings, many chip companies reduced headcount, cut costs, and deferred capital expenditures. In February, downstream buyers reported a drop in new orders due to a combination of inflation and slower economic growth, which put pressure on demand from both domestic and export customers. However, despite the decline in demand, downstream enterprises and traders were still hesitant to restock, and high inventory pressure persisted. As a result, the silicon metal prices in March hit their lowest level since early June 2022. With a weak macroeconomic backdrop, manufacturers believe that silicon metal prices are unlikely to recover anytime soon. They claim that financial market volatility has disrupted the supply chain. Therefore, the Silicon Metal (5-5-3) prices for FOB San Diego were fixed at USD 2787/MT.
Europe
During the first quarter of 2023, the European Silicon Metal market showcased a bearish market sentiment due to limited buying interest from the downstream aluminium alloy sector. This factor weighed on spot liquidity in domestic regions. Despite seasonal decreases in demand in January, the silicon market did not show any noticeable price fluctuations in Europe, as the situation in the energy market stabilized following a relatively mild winter and successful diversification of energy sources. However, Silicon Metal prices in Europe increased in February 2023, resulting from production cuts and shipment delays for some products. There were no discernible price fluctuations in the market during the second week of March, and transaction costs remained unchanged since the beginning of March. The traded volumes in the area were limited, with mostly hand-to-mouth bookings for small lots reported lately. European silicon producers found it challenging to compete against lower-cost third-country imports and other local suppliers liquidating their positions. Consequently, the Silicon Metal (5-5-3) prices for CFR Hamburg settled at USD 3122/MT.
Asia Pacific
During the first quarter of 2023, the Chinese Silicon Metal market experienced a decrease in market dynamics due to a surplus inventory level amidst a sluggish downstream Steel market. In January, some Silicon Metal enterprises raised their offers in response to firm offers from leading enterprises and price increases from downstream producers. However, during the Chinese New Year holiday, the market was quiet, and logistics services were suspended. Mainstream steel mills were inclined to raise prices due to high costs, putting traders under pressure and dampening their profits. In February, despite the expectation of downstream and terminal companies to restock in advance, terminal demand remained low, which decreased the momentum for silicon spot prices. The electricity tariff in Guangxi was raised in March, which, combined with low demand, dampened the enthusiasm for production. Silicon metal plants in Yunnan, Sichuan, and other regions trimmed or halted their production due to mounting cost pressure, while others took a wait-and-see approach. As a result, downstream buyers kept their raw material inventories at a low level, and Silicon Metal prices for FOB Shanghai settled at USD 2270/MT and USD 2652/MT.
For the Quarter Ending December 2022
North America
During the last quarter of 2022, the US Silicon metal prices showcased a stagnancy in their price trend owing to the stable supply-demand outlook. In terms of supply, most businesses were lowering their operating costs. Several manufacturers reduced operating rates, while others planned to reduce production loads and slow capacity ramp-ups in December to address excess inventory caused by oversupply. However, because there is a delay in companies lowering their operating rates, prices will not be significantly impacted in the short term. Weak demand combined with Christmas holiday leave overseas, as well as sales returns in markets such as the US, has some module manufacturers lowering the prices of some of their products faster. With falling prices for upstream silicon materials and wafers, the industry expects prices to fall further next year and module prices to fall even further.
Asia Pacific
In the final quarter of 2022, Silicon metal prices were consistently due to sluggish demand and limited supply amid logistical constraints. Due to another rise in covid cases in China, specifically in Xinjiang, power rationing in Yunnan province, and the impact of futures listings, there were few changes in the Silicon metal prices. Meanwhile, several market participants reported that the demand from downstream remained mostly rigid. Towards the end of the year, Chinese authorities relaxed covid protocols amid rising protests against city-wide lockdowns, resulting in improved production rates in Xinjiang but weak demand from downstream polymers and elastomers along with aluminum alloy markets.
Europe
In the first half of Q4 2022, Silicon Metal prices remained on a bullish rally. Under the strong support of the cost side (semi-coke, electricity, and transportation costs increased), the Silicon Metal spot market has been operating steadily. During the second half of the quarter, the German Silicon Metal market showcased a stagnancy in the price trend. According to market participants, Europe's silicon market has been characterized by volatile spot trades supported by weak demand from the aluminium sector. With China's unpredictability, European buyers sought to limit market exposure and avoid building extensive inventories. The market has been weighed down by a bleak economic outlook and a slew of headwinds affecting Europe's manufacturing and construction industries.
For the Quarter Ending September 2022
North America
In the US market, Silicon Metal prices continued to fall in Q3 2022 due to a demand-supply imbalance caused by imports and steadily falling raw material prices. The United States' import sources expanded to include Brazil, Canada, Russia, Venezuela, and others. However, market participants reported that Chinese Silicon was insignificant. Market participants cite that cost pressures remained high at the end of the third quarter, with reports of supply chain issues, raw material shortages, and skyrocketing prices for key inputs such as energy and electronics. Market participants believed that Silicon prices in the United States had flattened, with near-term sentiment gradually improving, though the overall tone remains cautious. As a ripple effect, the Silicon Metal (5-5-3) prices for CFR San Diego (USA) settled at USD 3020/MT.
Asia Pacific
The price trend of Silicon Metal in the Asian market has been stagnant during the third quarter of 2022. According to market participants, the cost of Silicon Metal in July was lower than expected. Manufacturers have established production and maintenance schedules. Some traders believed that the price did not meet their expectations, and they were waiting with bated breath for ferrosilicon purchase demand. Furthermore, raw material costs have fallen, and profits are gradually returning. Because of the abundance of resources in circulation, downstream enterprises are concerned about the market outlook. Due to active shipment, the inventory of Silicon Metal at Huangpu Port was reduced, while the stock at Tianjin Port remained stable. Furthermore, the downstream purchased as needed at the end of the quarter, and some traders tended to stockpile cargo in advance. Cargo holders raised the price of Silicon several times in September, primarily because the market was concerned about production restrictions and shipment issues amid the Xinjiang pandemic. Thus, the Silicon Metal (5-5-3) prices for FOB Shanghai (China) settled at USD 2530/MT.
Europe
During the third quarter of 2022, the Silicon Metal prices in the European market plummeted due to an abundance of inventories in the regional market and limited demand. According to market participants, Silicon Metal prices have remained stable this year due to higher-than-expected European purchase volumes and limited polysilicon supplies due to seasonal mill closures. According to buyers, power and gas prices in Germany have more than doubled in just two months. Temporary shutdowns have occurred in the past due to high costs. As prices rise, many energy-intensive companies competing on a global scale are feeling the pinch. Customers are paying more because silicon companies are substituting liquefied petroleum gas and coal for up to 40% of German gas volumes. As a result, the market experienced a stable demand outlook. Therefore, the discussions for Silicon Metal (5-5-3) prices for CFR Hamburg (Germany) settled at USD 3115/MT.
For the Quarter Ending June 2022
North America
Due to fluctuating demand, Silicon Metal prices in the North American market witnessed mixed sentiments. During April, the unprecedented surge in the global crude and energy prices soared the quotations for Silicon in the overseas market. However, the sanctions on Russian commodities and COVID-19 resurgence in China further reduced the demand dynamics in May and June. However, rising inflationary pressures, weak buyer confidence in the outlook, and supply-chain disruptions have increased Silicon prices in June. Firms utilized their current holdings of inputs and finished goods to supplement production, with input buying stagnating and supply chain delays easing. According to market players, relief may come later this quarter, with production expected to ramp up and ease supply tightness.
Asia Pacific
During the second quarter of 2022, the Silicon Metal prices witnessed plunging sentiments in the Chinese market due to weak demand and delayed downstream procurement. According to market participants, the domestic Silicon metal market was sluggish following the May Day holiday, and market transactions were poor, resulting in a drop in Silicon metal prices. Recently, export prices have fallen, and trade has been light. Because of the sluggish domestic Silicon metal market, overseas buyers were more cautious about placing orders. Furthermore, the rapidly changing yuan exchange rate is a significant reason for Silicon metal export prices falling. Again, most silicon factories resumed production in late May, with some continuing into early June. Some silicon factories actively delivered sufficient orders, while others suspended citations or quoted high due to a lack of willingness to sell.
Europe
In the European market, Silicon Metal prices witnessed mixed sentiments in the Q2 of 2022. Due to the unusual sanctions limiting Russian business export opportunities, Silicon metal prices continued to rise in April. Soaring electricity prices and energy costs in Europe have two-folded the impact on the demand outlook in the regional market. Furthermore, due to European restrictions on Russian and Belarussian transportation companies, silicon prices have skyrocketed. However, by the end of April, the market's growth in Silicon quotations had slowed due to a sharp decline in demand. Lower demand and increased supply, rather than reduced supplies from Ukraine, caused the segment to be overstocked and prices to fall. However, during June, suppliers attempted to speculate on higher prices in China, but by the end of the month, they were forced to give in once more.
For the Quarter Ending March 2022
North America
In North America, Silicon prices were soaring in response to Russia-Ukraine conflict. High rates of electricity and upstream materials like silica, petroleum coke, soft coal, charcoal resulted in price fluctuations. However, in first quarter of 2022, the leading import sources for US Silicon metal were Germany, Taiwan, and Vietnam. The Chinese domestic demand for US Silicon weakened as Chinese market players adopted wait and see approach due to inflated prices. Despite soaring market prices of Silicon amid tight spot availability, producers and traders decided against and made their offers and are keeping their stock steady. The price for Silicon in North America during the first quarter of 2022 were settled at USD 957-1058 per tonne.
Asia Pacific
During the first quarter of 2022, the Asian market sentiments for Silicon in March showcased upward growth despite a declining trend followed till February 2022 owing to muted demand from consumers. Amidst this, the extended hostilities between Eastern European nations have drastically impacted the trade dynamics and provoked fear of a steep surge in prices among domestic market players, forcing them to build up inventories. In India, Silicon prices soared due to high domestic demand and an upswing in prices of raw materials, primarily coal and coke. However, Indian suppliers largely benefited from the crisis and raised their offers subsequently for better netbacks. India's imports of Russian Silicon increased by 250% m-o-m in January. Major buyers have plenty of inventories and are unwilling to sell at low prices. Moreover, domestic buyers are reluctant to book materials at higher prices, waiting for the price reduction. The Silicon Metal price for Ex-Mumbai (India) settled at USD 4209 per tonne, whereas for Ex-Shanghai (China) was assessed at USD 3208 per tonne.
Europe
The ongoing conflict between Russia and Ukraine led to the whole value chain and supply chain disruption. Prices of the materials witnessed a sharp rise due to this conflict. In Europe, the prices of Silicon in January rose moderately amid a shortage of material and forwarding delivery and lower manufacturing at plants because of inflated raw materials costs. Moreover, Russia is the world’s second-largest manufacturer of Silicon after China. In the first quarter of 2022, Russia’s Silicon export demand remained bullish. However, the suspended supplies from Russia severely impacted the global market and the European nations significantly. The sanctions imposed on Russia caused domestic European buyers to build up their stocks from other countries. Additionally, Russia’s export declined primarily due to the drop in imports from Japan and Turkey. But India’s imports of Russian Silicon surged more than 200% m-o-m because of the higher domestic price of Silicon in January 2022.
