European antimony prices slide further

BEIJING (Asian Metal) 12 Nov 08 – Although Chinese government closed many antimony mines and smelters in Lengshuijiang areas last week, antimony prices did not stop falling. Market participants reported lower prices to Asian Metal.
A European trader disclosed that the latest offer he received from Chinese supplier was USD5,800/t CIF Rotterdam for 99.65%min low bismuth antimony ingot, and the material is about two weeks away from Rotterdam. "Most offers are in the range of USD5,800-5,900/t CIF Rotterdam, but consumers are not responding," said the source.
According to him, one of the major consumer told him two weeks ago that they would be interested when price fall below USD6,000/t, but now he is expecting price to fall below USD5,500/t. "When the market is falling, consumer adjust their target price frequently." The trader believes the closure of mines and smelters in Hunan area is not having effect, because the problem is on demand side of the market.
Another European trader is offering 99.65%min standard grade two antimony ingot at USD5,800/t CIF Rotterdam or other European port to his customers, but received no inquiries. "Market is very quiet at the moment, and many consumers are already long in stock from long-term supplies, so they are not interested in buying from spot market," the trader remarked.
He holds that the European consumers will not in spot market for the rest of the year due to the weak economy and slow demand, then they will end with some stockpiles by the end of the year and consume the inventory in the first quarter of next year. By the time of second quarter, there will be too much material available in market; therefore, he told Asian Metal that the European antimony market will not see any recover before September of 2009.