Magnesium price hits low
2005-06-15 09:32:38 【Print】
BEIJJING (Asian Metal) 15 Jun 05 – Magnesium prices have slid to RMB13,600-13,900/t ex works, USD1,540-1,570/t FOB in the past week, the lowest price in 2005, market sources reported.
“Magnesium prices have reached a for 2005,” a Shanxi-based magnesium producer reported to Asian Metal. “We quote USD1,550-1,560/t FOB now for July delivery, with few replies. Domestically, we sell at RMB13,600/t ex works.”
The source added that the global economy has slowed down, with most metal prices having gone down since June. Magnesium prices are unlikely to rebound before October. In addition, many magnesium alloy products have not gained recognition of customers worldwide, compared with aluminum products.
The producer has reduced its magnesium output to 800tpm .
“We’ve concluded some deals for USD1,530/t FOB, June delivery,” a Ningxia-based producer told Asian Metal. “That price was the lowest price this year.”
The source added that to maintain production and keep customers, they have to sell at such low price. In addition, as the ferrosilicon price still has much room to slide domestically, magnesium production costs may possibly be lowered.
The producer now sells magnesium ingot at around RMB14,000/t delivered to ports domestically and has an output of 400tpm.
“Magnesium prices have reached a for 2005,” a Shanxi-based magnesium producer reported to Asian Metal. “We quote USD1,550-1,560/t FOB now for July delivery, with few replies. Domestically, we sell at RMB13,600/t ex works.”
The source added that the global economy has slowed down, with most metal prices having gone down since June. Magnesium prices are unlikely to rebound before October. In addition, many magnesium alloy products have not gained recognition of customers worldwide, compared with aluminum products.
The producer has reduced its magnesium output to 800tpm .
“We’ve concluded some deals for USD1,530/t FOB, June delivery,” a Ningxia-based producer told Asian Metal. “That price was the lowest price this year.”
The source added that to maintain production and keep customers, they have to sell at such low price. In addition, as the ferrosilicon price still has much room to slide domestically, magnesium production costs may possibly be lowered.
The producer now sells magnesium ingot at around RMB14,000/t delivered to ports domestically and has an output of 400tpm.
