SUBSCRIBER NOTE: Platts proposes to update Japan bulk alloys price assessments

Platts is seeking comment on a proposal to amend the specifications and methodologies for two of its CIF Japan bulk alloys price assessments due to changes in market trading patterns in recent years. The assessments have specified Chinese-origin material, but new ferrosilicon producers are emerging outside of China and, in the case of silicomanganese, imports from China have essentially ceased. The changes will also include updates to the published specifications for the CIF Japan price assessments for ferrosilicon and silicomanganese to reflect what has been typical in the market in recent years. Platts is proposing to revise the specifications as follows, effective January 30:

Ferrosilicon 75% CIF Japan (MMAJP00) -- Weekly assessment of the repeatable, tradable spot price ferrosilicon imported into Japan, with 75-79% silicon, normalized to 75% Si, maximum 2% aluminum, 0.02% sulfur, 0.2% carbon, 0.05% phosphorous, lumps 10-100 mm, packed in 1 mt big bags in seagoing 20-foot (18-24 mt) containers, CIF main port Japan. Assessed in dollars per metric ton, reflecting the narrow range where the majority of business is occurring. Payment cash against documents or LC at site, loading less than 60 days after the date of transaction. Minimum volume 100 mt per transaction. Assessment made Thursdays or closest business day from survey of producers, traders and end users in the steel and other metal sectors. The Platts assessment will only consider bids, offers or deals complying with the legal documentation and taxation requirements of the exporting country. Includes all origins meeting the specification.

Silicomanganese 65% CIF Japan (MMAJG00) -- Weekly assessment of the repeatable, tradable, spot price for 65-70% Mn, normalized to 65% Mn; silicon 14-20%, carbon maximum 2-2.5%, phosphorous maximum 0.3%, sulfur maximum 0.02%, boron maximum 0.02%, lump size 10-55 mm, in bulk or super sacks, all origins. Price is assessed in $/mt Mn contained, reflecting the narrow price range where the majority of business is occurring, basis CIF main Japanese ports of Yokohama, Nagoya and Osaka, loading within 60 days from the date of transaction, net 30-days payment terms from date of delivery. The assessment will reflect minimum quantities of 100 mt or greater. Assessment made Thursdays or closest business day from survey of producers, traders and end-users in the steel sector. Includes all origins meeting the specification.

Please provide feedback or submit questions on the proposed specifications by December 20 to Mayumi Watanabe, mayumi.watanabe@platts.com, with a cc to karen.mcbeth@platts.com and pricegroup@platts.com.