The tables below show the imports of FeSi to Japan, South Korea and Taiwan. Malaysia's share is increasing and taking market share off Russia. Roundabout products are those that are illegally exported from China without paying the Chinese 20% export tax.
"As a result of analyzing customs clearance for import and export in the respective countries, the total distribution volume of cheap ferro-silicon of Chinese origin without the regular export procedure (roundabout products) in the Asian ferroalloy market in the full year 2017 (January - December) drastically decreased from the latter half of 2017, which was because not only did the Government of China reduced the export duty on ferro-silicon to 20% from the existing 25% on 1 January 2017, but also the illegal export group was busted on a large scale in China."
Malaysian products expanded the sales outlet meant for the Euro-American market, and the price level of ferro-silicon was raised.
The situation of the import of ferro-silicon by respective countries of Japan, South Korea and Taiwan is as follows.
[Japan]
The import volume of roundabout products began to come down in the period from April to June in 2017, and dropped to 5% in the period from October to December. Since the demand for roundabout products was shifted, the recovery of the import of Chinese regularly-exported products could be recognized in the period from July to September, which was partly because Russian products meant for the spot market got scarce in the same period.
[South Korea]
Although the import volume of roundabout products decreased from the period from July to September in 2017, the decrease stayed in a slight range in the period from October to December, which was analyzed to be because the roundabout products used a different route from the one meant for Japan, and the customers strongly wished to continue to purchase the roundabout products. Besides, as the import volume of roundabout products in the period from January to June was at a high level, the import volume in the full year 2017 was up from the one in 2016.
[Taiwan]
The import of roundabout products was down in the periods from April to June and from July to September, but up in the period from October to December. This was analyzed to be because the cargoes that could not be exported to Japan and South Korea were concentrated in Taiwan to which the shipment was still easy. As with the case in South Korea, the import volume of roundabout products in the period from January to June was at a high level, and therefore the import in the full year 2017 was up from the year 2016.
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