Market analysis

Last week, the magnesium ingot market fell from a high level, with a drop of 8,000-9,000 yuan per ton during the week. The quotation at the beginning of the week was relatively stable. The market price began to decline gradually from Tuesday, mainly due to the insufficient performance of downstream demand and the actual transaction in the market. , The mainstream factories in Shaanxi area have a tax-included spot exchange of 44,666.67 yuan / ton.

As of January 14, the specific price ranges in each region are as follows: Fugu region ex-factory spot exchange 42,400-42,500 yuan/ton including tax; Ningxia area ex-factory spot exchange 42,400-42,500 yuan/ton; Taiyuan area ex-factory spot exchange 42,500-42,600 yuan including tax / ton; Wenxi area ex-factory tax-included spot exchange 42600-42700 yuan / ton.

Demand side

The essence of the decline in the magnesium ingot market last week was due to insufficient follow-up of downstream demand. Although there were expectations of market environmental protection factors, it was difficult to support the long-term operation of the high-priced magnesium market. Domestic downstream customers were not willing to accept high prices, and the price of magnesium ingots rose rapidly. The decline has intensified the wait-and-see mood in the downstream. In addition, the severe epidemic situation in Tianjin has seriously affected transportation, and the suspension of foreign vehicles from entering and leaving Tianjin Port has been blocked, affecting the difficulty of foreign export and transportation, and the follow-up of foreign orders has decreased.

Supply side

At present, the production of the magnesium plant is relatively stable, and the market inventory is also gradually recovering. Based on the capital situation of each company, some factories will ship the goods on the go. According to a trader of a major manufacturer, there are still some concerns about the production of orchid carbon in Shaanxi, and there are certain expectations for the rising cost. In the long run, the magnesium market is more optimistic.

Shenmu Lantan Group Co., Ltd. issued a notice to increase the guide price from the 16th, and implement the ex-factory price including tax: 1850 yuan/ton for large blue charcoal, 1850 yuan/ton for medium charcoal, and 1800 yuan/ton for small charcoal. Blue carbon coke noodles 1250 yuan / ton.

Market outlook

At present, we can pay more attention to the subsequent promulgation of relevant environmental protection policies. Environmental protection is always an uncertain factor affecting the market atmosphere. Next, the end of the year is approaching. We can expect the emergence of a wave of demand purchases a year ago. The decline in the price of magnesium ingots last week is also closer to downstream stocking Psychological price, it is expected that the market outlook price may continue the weak shock pattern.

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