Tsingshan lifts May FeCr bid price again despite thin profits

China's Tsingshan Group has raised its bid price for high-carbon ferrochrome (FeCr) for May delivery by another Yuan 500/tonne ($68/t), setting the new level at Yuan 8,095/t (50% Cr basis) ($1,109.1/t), the company has announced. This marks Tsingshan's second consecutive price hike, following its Yuan 600/t increase for April delivery, according to Mysteel Global.

Market insiders generally saw the increase coming, given the current supply-demand imbalance and escalating raw materials costs. Although Tsingshan – the largest stainless steelmaker in East China – continues to face squeezed profit margins, stainless producers have limited leverage to push back on FeCr pricing. Many smelters are reportedly operating near or below cost,