Price trend

According to the Commodity Market Analysis System of SunSirs, as of the 25th, the average price of magnesium ingots in the domestic market was 20,833.33 RMB/ton, a decrease of 0.16% compared to the previous week. This week, the price of magnesium ingots had remained weak and stable. On Monday, some enterprises in Shaanxi completed environmental protection renovations, resumed production, and began selling. The market supply had slightly increased, and there had been no significant change in the manufacturer's quotation. On Tuesday, some merchants followed the market trend and slightly lowered their prices by 0-100 RMB/ton, but market transactions remained limited and remained stable in the later period.

In terms of supply and demand

On the factory side, magnesium factories had resumed production and sales, but production was at a low level, resulting in an overall increase in inventory pressure on magnesium ingots. But the price was close to the cost line of magnesium ingots, and magnesium factories were in a situation of high and low prices coexisting. In terms of demand, there were fewer downstream orders, and purchasing customers were more cautious and cautious. Some overseas customers had already started taking vacations, resulting in a reduction in export orders in December.

In terms of raw materials

This week, the market price of ferrosilicon in Ningxia was around 6,600-6,700 RMB/ton, with an average market price of 6,687.14 RMB/ton. The price of ferrosilicon had slightly increased, and the demand for ferrosilicon was difficult to improve. However, with the upcoming January steel recruitment, it is not ruled out that manufacturers may engage in price gouging behavior. The price of semi-coke remained stable, with Shenmu semi-coke small materials priced at around 1,080-1,160 RMB/ton. As of the 25th, semi-coke manufacturers had no plans to resume production, and downstream enterprises had a relatively low operating rate. The demand for semi-coke replenishment was not strong, and it is expected that semi-coke prices will continue to remain stable in the short term.

Market outlook

After some enterprises resumed production, the market supply increased, and the inventory pressure on manufacturers increased. However, downstream transactions performed poorly, putting pressure on magnesium ingot prices. But considering cost support, manufacturers were firm in their prices, and there was limited room for a reduction in magnesium prices. It is expected that the price of magnesium ingots will remain weak and stable in the short term.

If you have any questions, please feel free to contact SunSirs with support@SunSirs.com.