End of Forum

Hosted by Asian Metal and sponsored by Fugu Taida Carbonification Co., Ltd., Shanxi Credit Magnesium Co., Ltd and Ningxia Sun Magnesium Industry Co., Ltd., the “4th World Magnesium Forum” was successfully held in Chengdu, Sichuan, on 16-17 April 2015. Discussions during the magnesium forum centered on magnesium metal, magnesium powder, magnesium alloy, magnesium alloy die casting, extrusion and aluminum alloy. The conference received widespread support from magnesium industry participants, with nearly 200 representatives from the domestic and overseas markets in attendance.

The conference officially began at 8:50am on 17 April. Dong Feiyun, the General Manager of Fugu Taida Carbonification Co., Ltd., delivered the opening speech. He then went on to present a report entitled “Back to Rationalization, Marching Forward Steadily — Analysis of the Transformation of Magnesium Producers in Fugu”. He pointed out that selling prices for magnesium metal in Fugu region basically remained at RMB14,500/t before October 2014; since when, they have broken through the psychological barrier of RMB13,000/t, dropping continually since November. The main reasons for the situation are as follows. Firstly, overall production has been excessive, while demand continues to be weak; secondly, some enterprises have been under immense pressure since Q4, 2014, and thus were lacking in cash flow; thirdly, some enterprises had question marks over extensive management and poor operating methods. In addition, sales in the market have been unstable due to downstream consumers holding a wait-and-see attitude. Reflecting on the above conditions, Mr. Dong gave the following suggestions: first, further strengthening of enterprise management and technological innovation was required, improving enterprises’ ability to be profitable; second, intensifying enterprises’ integration would avoid vicious price competition; and third, by improving mutual trust within the industry, upstream and downstream enterprises would achieve mutual benefits and win together.

Afterwards, Zhen Zisheng, Technical Director of Magontec Asia for Magontec Xi’an Co., Ltd., presented a report on the topic of “Magnesium --New Opportunity in China on Lightweight Material for the Automotive Industry”, and pointed out that China’s development of magnesium metal applications will promote future development of the magnesium industry.

Then, Takahiro Morito, Design Team Leader at Chuokosan Co., Ltd., presented a report on “The Status of the Japanese Magnesium Market”. He observed that consumption of magnesium metal within the Japanese market throughout the year had been 40,000 tonnes, accounting for 4.8% of the global market. The main applications were aluminum alloy, magnesium alloy and titanium products, accounting for 55%、26% and 19% respectively.

After that, Mr. Liu Zhiwei, President of Shanxi United Magnesium Industry Co., Ltd., presented a report on the topic of “A Discussion about Thinking on Development of the Magnesium Industry in The Era of ‘Internet Plus’”. He throughly analyzed and discussed the advantages to Shanxi United Magnesium Industry Co., Ltd. of the “Internet Plus” plan, given the current magnesium industry situation.

Later on, Bart Udeshi, Head of the Business Dept. at Metals Range, delivered a report on the topic of “Increased Use of MG within India and Growth of the Indian Auto and Aviation Industry”. He discussed the current economic status in India, as well as the situation in the automobile and parts industries. He pointed out that India is one of the largest automobile producers in the world, its fast growing car market ranked second after China, and the applications there for magnesium metal continue to increase.

On the afternoon of 17 April, Cao Jianyong, President of ChongQing Sun Magnesium Co., Ltd., presented a report on the topic of “Applications of Magnesium Alloy in the Defence Industry”, pointing out the prospects for widespread application of magnesium alloy in national defense and the military, but that there are two issues that need to be solved. First, the corrosion resistance of magnesium alloy needs to be improved, extending the service life of the material under humid and other severe environmental conditions; second, the strength of magnesium alloy should see further improvement, developing new processing methods in order to satisfy the demands of military weaponry on lightweight magnesium alloy.

Next, Cheng Sen, Vice General Manager of Yingkou Yinhe Magnesium and Aluminum Alloy Co., Ltd., gave a report on the topic of “The Application of Rolled Magnesium Alloy Plate in the Printing and Mould Industries”. He observed that, although magnesium alloy plates have been applied within many fields, the capacity of the market is still relatively small. The main reasons are as follows: first, a lack of understanding about the material; second, the problem of manufacturing techniques; and third, the issue of prices. He said Yingkou Yinhe Magnesium and Aluminum Alloy Co., Ltd. was willing to pioneer production research on rolled magnesium alloy plates, improving the manufacturing techniques and processing technology for wide rolled magnesium alloy plates.

Finally, Asian Metal invited well-known domestic and overseas magnesium enterprises to participate in a discussion, which was hosted by Gao Bin, Vice General Manager of Nanjing Welbow Metals Co., Ltd. Guests participating in the discussion included: Daniel Chu, Sales Manager of Yulin Tianlong Magnesium Co., Ltd.; Zhang Guangning, General Manager of Shanxi Credit Magnesium Co., Ltd.; Li Zhenjiang, General Manager of Hebi Jianglang Metals Co., Ltd.; Wen Tao, Sales Director of Shanxi Pan Asia Magnesium Co., Ltd.; and Qi Xiangmin, General Manager of Shanxi United Magnesium Co., Ltd. They discussed many issues, including attempts by Shaanxi magnesium plants to unite to protect prices, analysis of future market price trends, the status of exports, and the prospects for magnesium products. They also looked at the production situation and future development trends for magnesium powder, as well as providing an analysis of the production status and application prospects for magnesium alloy. Guests participated enthusiastically in the discussion and expressed their opinions on the current situation within the magnesium industry and future development trends, and gave detailed responses to questions on the spot.

Organized by Asian Metal, the World Magnesium Forum drew to a successful close at 6pm on 17 April, thanks to the strong support of Fugu Taida Carbonification Co., Ltd., Shanxi Credit Magnesium Co., Ltd and Ningxia Sun Magnesium Industry Co., Ltd. as well as all of the representatives.

Asian Metal has successfully hosted all kinds of minor metal forums and summits on a number of occasions, always receiving enthusiastic support and cooperation from companies within the industry, and would like to express its heartfelt thanks to all of you. Asian Metal will be persistent in its efforts to carry this enthusiasm and spirit of professionalism forward. We look forward to the next meeting!