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[www.ferro-alloys.com] Chinese ferrosilicon industry is facing with a great change. 2016 Central Economic Working Conference put forward the task of De-capacity. Recently most Chinese ferrosilicon enterprises took part in a ferrosilicon industry meeting, which was sponsored by main Midwest ferrosilicon enterprises and organized by a number of Chinese ferroalloys associations.

It is decided to set up a ferrosilicon technological service company after the intense discussion in two days, which will be responsible for communicating with the government to reduce the export tariff, controlling the industry access, eliminating the outdated capacity, and quickening the speed of merging and reorganization of Chinese ferrosilicon enterprise.

The loss of Chinese ferrosilicon industry was above 2 billion dollars in 2015. Furthermore, the procurement price of ferrosilicon products by Chinese mainstream steel mills had dropped by more than RMB2700/mt from January of 2014 to December of 2015. Some Chinese ferrosilicon enterprises lost more than RMB1000 as the result of producing one ton of ferrosilicon products. It is said by delegates that more than 90% of Chinese ferrosilicon enterprises would still be facing with loss even if the price is above RMB5000/mt, ex-work and including tax.

• [Editor:Chen Zhen Seng]