Market review 07-11.10.2024
Katowice, Poland – January 17, 2025
** SSAB Exits “Green Steel” Project in the U.S. **
The Swedish steel company SSAB has withdrawn from negotiations to fund the construction of a “green steel” plant in the U.S., citing uncertain policy directions under President Donald Trump’s administration. The project, which included a $500 million grant under the DOE’s $6 billion federal funding initiative, aimed to build a hydrogen-fuelled zero-emissions steel plant in Mississippi. SSAB, while continuing its decarbonization efforts in the U.S., has shifted its focus to technical collaborations and partnerships. Read more
** Thyssenkrupp Moves Ahead with Green Steel Despite Uncertainty **
Thyssenkrupp has announced that its €3 billion green steel project in Duisburg can proceed regardless of delays in Germany’s hydrogen infrastructure. The plant, which will initially use natural gas to reduce CO2 emissions by 50%, is designed to become climate-neutral once fully powered by green hydrogen. This flexible approach reflects the company’s commitment to sustainability amidst regulatory and market challenges. Read more
** Huta Częstochowa Resumes Operations Ahead of Sale **
Poland’s Huta Częstochowa is set to restart production under the management of Węglokoks, which aims to stabilize the steel plant before its upcoming sale. Valued at 227 million zloty, the plant’s recovery strategy focuses on maintaining employment and operational continuity. Details of the tender are expected soon. Read more
** Challenges in German Automotive Manufacturing **
Data from VDA indicates a 10% drop in production and a 9% decline in exports in December 2024, highlighting significant challenges for Germany’s automotive sector. This contraction has broad economic implications, as the industry remains a cornerstone of the country’s economy. Read more
** EUROFER Advocates for Stricter EU Steel Import Measures **
The European Steel Association (EUROFER) has proposed amendments to safeguard measures, including reducing tariff quotas, increasing protective duties to 32%-41%, and introducing country-specific quotas. These measures aim to balance declining steel demand and ensure fair competition within the EU. Read more
** Poland Develops National Strategy for Steel Industry **
A new working group under the Ministry of Industry has been established to address challenges in Poland’s metallurgical sector. Led by Minister Marzena Czarnecka, the group will draft a national strategy aimed at improving competitiveness and sustainability within the industry. Read more
** Global Seaborne Iron Ore Imports Grow, Driven by China **
In 2024, global seaborne iron ore imports rose by 3.6%, largely due to China’s demand, despite its reduced steel production. This growth reflects strategic restocking and favourable price trends. However, uncertainties surrounding U.S. and Chinese policies loom over the sector’s future. Read more
** High Grade Manganese Ore Prices Rise in Seaborne and Port-Side **
Markets Seaborne Trends: Prices for high-grade manganese ore delivered to China increased during the week ending January 10. Market activity showed higher transaction levels and consistently declining port inventories. Semi-carbonate manganese ore prices also experienced a slight upward trend, reflecting growing optimism for high-grade materials.
Sources indicate delays in shipments from Gabon as a significant factor contributing to concerns over supply. These delays were attributed to production suspensions, labor strikes, holiday disruptions, and logistical challenges, further tightening the availability of high-grade materials. Reduced stock levels in Chinese ports have amplified the bullish sentiment, with limited offers pushing prices higher.
Smelters in China, facing potential disruptions and rising demand, were seen actively restocking. This behaviour underscores their apprehension about future supply stability and expected increases in demand as the year progresses.
Port-Side Developments: The port-side market mirrored the seaborne trends, with prices for high-grade manganese ore climbing further. Smelters ramped up their purchases in preparation for the Lunar New Year holiday, anticipating logistical halts. Market participants observed a surge in activity to secure raw materials before transportation operations pause during the holiday season.
Higher offers from the seaborne market influenced port-side prices, reinforcing the upward trajectory across both high and lower-grade materials. Semi-carbonate ore prices followed the same trend, albeit with a more moderate increase.
Market Outlook: As the Lunar New Year approaches, restocking activities and concerns over supply continuity are expected to keep the manganese ore market buoyant. Factors such as shipment delays from key producers, tighter port inventories, and robust restocking demand indicate a likely continuation of the bullish trend in the short term.
Primeore Trading (Polska) Sp. z o.o. is a trading arm of Primeore Ltd. which is responsible for handling of all international trading and trading-related operations of the group. The company is involved into operations with manganese ore, ferroalloys, coke and coal products worldwide.
Media contacts
For further information please contact office.poland@primeore.eu
** SSAB Exits “Green Steel” Project in the U.S. **
The Swedish steel company SSAB has withdrawn from negotiations to fund the construction of a “green steel” plant in the U.S., citing uncertain policy directions under President Donald Trump’s administration. The project, which included a $500 million grant under the DOE’s $6 billion federal funding initiative, aimed to build a hydrogen-fuelled zero-emissions steel plant in Mississippi. SSAB, while continuing its decarbonization efforts in the U.S., has shifted its focus to technical collaborations and partnerships. Read more
** Thyssenkrupp Moves Ahead with Green Steel Despite Uncertainty **
Thyssenkrupp has announced that its €3 billion green steel project in Duisburg can proceed regardless of delays in Germany’s hydrogen infrastructure. The plant, which will initially use natural gas to reduce CO2 emissions by 50%, is designed to become climate-neutral once fully powered by green hydrogen. This flexible approach reflects the company’s commitment to sustainability amidst regulatory and market challenges. Read more
** Huta Częstochowa Resumes Operations Ahead of Sale **
Poland’s Huta Częstochowa is set to restart production under the management of Węglokoks, which aims to stabilize the steel plant before its upcoming sale. Valued at 227 million zloty, the plant’s recovery strategy focuses on maintaining employment and operational continuity. Details of the tender are expected soon. Read more
** Challenges in German Automotive Manufacturing **
Data from VDA indicates a 10% drop in production and a 9% decline in exports in December 2024, highlighting significant challenges for Germany’s automotive sector. This contraction has broad economic implications, as the industry remains a cornerstone of the country’s economy. Read more
** EUROFER Advocates for Stricter EU Steel Import Measures **
The European Steel Association (EUROFER) has proposed amendments to safeguard measures, including reducing tariff quotas, increasing protective duties to 32%-41%, and introducing country-specific quotas. These measures aim to balance declining steel demand and ensure fair competition within the EU. Read more
** Poland Develops National Strategy for Steel Industry **
A new working group under the Ministry of Industry has been established to address challenges in Poland’s metallurgical sector. Led by Minister Marzena Czarnecka, the group will draft a national strategy aimed at improving competitiveness and sustainability within the industry. Read more
** Global Seaborne Iron Ore Imports Grow, Driven by China **
In 2024, global seaborne iron ore imports rose by 3.6%, largely due to China’s demand, despite its reduced steel production. This growth reflects strategic restocking and favourable price trends. However, uncertainties surrounding U.S. and Chinese policies loom over the sector’s future. Read more
** High Grade Manganese Ore Prices Rise in Seaborne and Port-Side **
Markets Seaborne Trends: Prices for high-grade manganese ore delivered to China increased during the week ending January 10. Market activity showed higher transaction levels and consistently declining port inventories. Semi-carbonate manganese ore prices also experienced a slight upward trend, reflecting growing optimism for high-grade materials.
Sources indicate delays in shipments from Gabon as a significant factor contributing to concerns over supply. These delays were attributed to production suspensions, labor strikes, holiday disruptions, and logistical challenges, further tightening the availability of high-grade materials. Reduced stock levels in Chinese ports have amplified the bullish sentiment, with limited offers pushing prices higher.
Smelters in China, facing potential disruptions and rising demand, were seen actively restocking. This behaviour underscores their apprehension about future supply stability and expected increases in demand as the year progresses.
Port-Side Developments: The port-side market mirrored the seaborne trends, with prices for high-grade manganese ore climbing further. Smelters ramped up their purchases in preparation for the Lunar New Year holiday, anticipating logistical halts. Market participants observed a surge in activity to secure raw materials before transportation operations pause during the holiday season.
Higher offers from the seaborne market influenced port-side prices, reinforcing the upward trajectory across both high and lower-grade materials. Semi-carbonate ore prices followed the same trend, albeit with a more moderate increase.
Market Outlook: As the Lunar New Year approaches, restocking activities and concerns over supply continuity are expected to keep the manganese ore market buoyant. Factors such as shipment delays from key producers, tighter port inventories, and robust restocking demand indicate a likely continuation of the bullish trend in the short term.
Primeore Trading (Polska) Sp. z o.o. is a trading arm of Primeore Ltd. which is responsible for handling of all international trading and trading-related operations of the group. The company is involved into operations with manganese ore, ferroalloys, coke and coal products worldwide.
Media contacts
For further information please contact office.poland@primeore.eu