NEW YORK U.S.
ferrosilicon prices have risen as traders capitalize on supply
concerns following the start of an anti-dumping investigation
into imports from Russia and Venezuela.
Ferrosilicon moved up
to a range of 91 to 93 cents per pound from 88 to 90 cents
Department announced earlier this month that it would initiate
an investigation into imports of ferrosilicon from Russia and
Venezuela, with the International Trade Commission (ITC)
scheduled to make preliminary injury determinations by Sept. 3
(amm.com, Aug. 9 ). If the investigation continues,
Commerce would make preliminary determinations in December and
final determinations in March 2014.
traders have already succeeded in pushing prices higher in the
free market, with replacement costs expected to climb as
material is imported from less-price-competitive regions.
"The simple reason
(for increasing prices) is because of the anti-dumping case,"
one trader said. "I think its a fait accompli
that the case will continue, so Im pushing up my numbers.
Once we get past the September decision (by the ITC), Chinese
and Egyptian and Norwegian material will have to come in."
"There is concern
about future supply," a second trader said.
Several traders said
that the trade case would prompt importers of Russian and
Venezuelan material to limit their selling into the domestic
However, a source at
one of the companies targeted in the trade case said that his
company had not altered its approach to the market. "The final
decision is a ways off," he said. "Its business as usual
in the interim; for all of our regular customers we continue to
bring material in."
Nevertheless, if the
investigation continues it could affect late-2013 contract
negotiations for 2014 shipments, market participants said.
"Even if they win the
case in the end, (importers) may lose valuable time," the
second trader said.