Chinese aluminum fluoride export deals hard to improve
2017-02-17 08:31:43 【Print】
BEIJING (Asian Metal) 17 Feb 17 - From Q4 2016, Chinese aluminum fluoride export deals became thin due to large price gap between Chinese domestic market and the global market. After Chinese Spring Festival, the aluminum fluoride price in the domestic market moved up further from RMB7,200-7,300/t (USD1,051-1,065/t) DDP to around RMB7,500-7,600/t (USD1,095-1,109/t) DDP, leading to wider gap
A Chinese aluminum fluoride export trader reported that they did not conclude any new deals since Q4 last year. “We offered USD1,020/t FOB China for a buyer from India late last year, but failed to conclude the deal due to the high price,” said the source.
According to the trader, mainstream concluded prices in China have touched RMB7,500/t (USD1,095/t) DDP, up from RMB7,200/t (USD1,051/t) late last month. However, the purchase price in the global market is much less than USD1,000/t . Therefore, overseas buyers still watch Chinese market.
The trader exported around 5,000-6,000t of aluminum fluoride last year, down by around 2,000t compared with that in 2015.
An aluminum fluoride consumer in Asia confirmed that they bought around 2,500t of the material from Italy and Mexico recently, instead of from China. “The price from those countries is only around USD930-940/t including freight cost,” said the source. “However, the price from China is much higher than USD1,000/t FOB China.”
The consumer needs to consume around 5,000t of aluminum fluoride per year and keeps stocks for demand in half a year.
The buyer revealed that they may have a plan to sign new orders in the middle of this year.
. Therefore, the export deals may not see improvement in Q1.
China's alumina producers' number (ratio) MoM inventory decrease for imported bauxite statistics by province by month