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Non-ferrous metals hit by slowdown of the Chinese economy development

Over the past few years of active development of the Chinese economy is a guarantee of stability and a constant increase in demand in the field of non-ferrous metal sales. However, the economic crisis of global scale could not affect the reduction of production capacity in China. The first such sentiments in the compartment felt manufacturers colored metal products and some concentrates. Since manganese ore price indices continued to lose, its value goes down lower and lower. Given the decline in demand and the need for such raw materials, foreign manufacturers are willing to further reduce the market value of the goods, which adversely affects the stability of the entire industry. The constant pressure of consumers in this area has identified reduction of the purchase price to the important industrial materials in almost all Chinese ports. Given the fact that China, until recently, has been a major consumer of base metals, like drop its development quite painful impact on the global balance of prices in the non-ferrous metal compartment. Reducing the cost of the finished product is forcing manufacturers to lower industrial output and reduce the output of manganese alloys, because work on the increase in stocks and a little perspective is fraught with additional costs to increase in the area of ​​storage facilities. In addition, the severity of the situation added to the increase in energy prices. With further development of manganese compartment in a direction similar to the production of very fast it may be below the profitability and exit completely negative. Incidentally cobalt such vicissitudes did not touch, contrary to rumors on this subject, experts say that cobalt production runs in the same volume and the reduction does not reflect. Unlike many other materials cobalt is still in demand in the metal market and its supply at a high enough level. At the first signs of weakening consumer activity several manufacturers have reduced the price of the material, but now the situation has completely stabilized. Some industrialists are trying to play skillfully on this heterogeneity of the metal market, successfully compensating for the loss of profits of the industrial sector in the other direction. By the way the Chinese government promises to support the development of its national economy, so in the near future in the market of non-ferrous metals is possible radical change.

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