China’s new vanadium-steel rebar standards take effect

As China’s November deadline to incorporate more vanadium in its steel rebar takes effect tomorrow, vanadium investors are left wondering the impact this will have on the commodity, which is already experiencing a tight market that has driven its price up more than 840% in the last two years.

China’s Standardization Administration announced the new high strength rebar standard back in February this year, saying it would officially come into effect on 1 November 2018.

Under the new standard, 0.03% vanadium will be incorporated in grade three steel, with this amount increasing with each grade to require more than 0.1% in grade five rebar.

Vanadium organisation Vanitec’s John Hilbert said the new standard is a “positive development” towards boosting vanadium consumption world-wide.

“Vanadium is the most common addition for high strength rebar, because it offers the best combination of high strength, good ductility, bendability, weldability and reduced sensitivity to strain aging,” Mr Hilbert explained.

Additionally, when incorporated in the steel rebar, vanadium can be used in economical hot rolling practices.