Chinese vanadium nitride prices keep moving down
2023-04-25 08:28:36 [Print]
BEIJING (Asian Metal) 25 Apr 23 - As most producers faced huge inventory pressure, Chinese vanadium nitride market mentality stayed soft during the past week. At present, the mainstream prices of Chinese vanadium nitride stand at RMB169,000-172,000/t (USD32.2-32.7/kg V) Delivered D/A 180 days, down by RMB3,000/t (USD0.6/kg V) from late last week. Considering that the sufficient supply in spot market continues, insiders predict that the mainstream prices of Chinese vanadium nitride would go down further in the coming week.
"No buyers would like to add inventory and we could at most maintain the operation rate at no more than 50% for the moment. According to the feedback of our major clients, we could at most sell at around RMB172,000/t (USD32.7/kg V) Delivered D/A 180 days," said a producer in North China. They last sold 20t of vanadium nitride at RMB175,000/t (USD33.3/kg V) middle last week. Considering that buyers could easily find enough goods in spot market, they predict that the mainstream prices of Chinese vanadium nitride would drop to around RMB165,000/t (USD31.4/kg V) in the following week.
With an annual production capacity of 3,000t, they produced about 1,610t in 2022 and about 450t in the first quarter of this year. They expect to produce around 150t this month, the same as last month, holding about 80t of stocks now, up by about 20t MoM.
"Steel mills' demand stayed at a lower level than our expectation and we faced increasing inventory pressure. For firm bids, we could accept RMB170,000/t (USD32.4/kg V) Delivered D/P now," said another producer in North China. They last sold 20t of vanadium nitride at RMB173,000/t (USD32.9/kg V) early last week. Prices of vanadium pentoxide flake 98%min and ammonium metavanadate 98%min they inquired dropped to the latest around RMB111,000/t (USD7.5/lb V2O5) EXW D/P and RMB105,000/t (USD15.4/kg) EXW D/P. In view of the dropping raw material prices, they predict that the mainstream prices of Chinese vanadium nitride would move down by at least RMB2,000/t (USD0.4/kg V) in the following week.
With an annual production capacity of 10,000t, they produced about 7,150t in 2022 and only produced about 300t in the first quarter of 2023 due to lack of profit. They expect to maintain a monthly output of 100t this month, almost the same as last month. They have around 100t of stocks for the moment, unchanged MoM.
"No buyers would like to add inventory and we could at most maintain the operation rate at no more than 50% for the moment. According to the feedback of our major clients, we could at most sell at around RMB172,000/t (USD32.7/kg V) Delivered D/A 180 days," said a producer in North China. They last sold 20t of vanadium nitride at RMB175,000/t (USD33.3/kg V) middle last week. Considering that buyers could easily find enough goods in spot market, they predict that the mainstream prices of Chinese vanadium nitride would drop to around RMB165,000/t (USD31.4/kg V) in the following week.
With an annual production capacity of 3,000t, they produced about 1,610t in 2022 and about 450t in the first quarter of this year. They expect to produce around 150t this month, the same as last month, holding about 80t of stocks now, up by about 20t MoM.
"Steel mills' demand stayed at a lower level than our expectation and we faced increasing inventory pressure. For firm bids, we could accept RMB170,000/t (USD32.4/kg V) Delivered D/P now," said another producer in North China. They last sold 20t of vanadium nitride at RMB173,000/t (USD32.9/kg V) early last week. Prices of vanadium pentoxide flake 98%min and ammonium metavanadate 98%min they inquired dropped to the latest around RMB111,000/t (USD7.5/lb V2O5) EXW D/P and RMB105,000/t (USD15.4/kg) EXW D/P. In view of the dropping raw material prices, they predict that the mainstream prices of Chinese vanadium nitride would move down by at least RMB2,000/t (USD0.4/kg V) in the following week.
With an annual production capacity of 10,000t, they produced about 7,150t in 2022 and only produced about 300t in the first quarter of 2023 due to lack of profit. They expect to maintain a monthly output of 100t this month, almost the same as last month. They have around 100t of stocks for the moment, unchanged MoM.
