Price

Chromium Pricing and Market Data

Chromite ore prices range from $250-350/tonne depending on grade and source. Ferrochromium, the primary processed product, is priced through quarterly benchmark negotiations between producers and stainless steel mills, typically ranging from $1.00-1.80/lb Cr contained. The ferrochrome benchmark is published by Fastmarkets and CRU. South African Eskom electricity disruptions have been a recurring price driver. Stainless steel production cycles (stainless accounts for ~80% of chromium demand) are the primary demand driver. The European ferrochrome benchmark and Chinese import prices serve as key reference points for global trade.

Pricing Mechanisms

Chromium is priced using benchmarks from Fastmarkets/Metal Bulletin. Chromium pricing operates through a combination of exchange-based benchmarks, price reporting agency assessments, bilateral negotiation, and long-term offtake contracts. The specific mechanism depends on product form, grade, and the buyer-seller relationship.

Price History and Notable Market Events

The Chromium market has been shaped by the following key events:

Price Drivers

Key factors influencing Chromium prices include production levels in South Africa (40% of global supply), demand from stainless steel production and superalloys for jet engines, inventory levels, energy costs, and government policy actions such as export restrictions or strategic stockpiling.

Spot vs. Contract Pricing

The Chromium market features both spot transactions and longer-term contracts. Spot prices reflect current conditions and are more volatile, while multi-year offtake agreements provide supply security for both producers and consumers. Current spot pricing is in the range of 300-400 $/tonne (chromite ore).