Monthly Silicon Carbide Market Report Jan 2023

2023-02-13 08:34:21 【Print】

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Contents
1 Market Highlights 3
2 Economy and Policy 3
3 Market Movements 3
3.1 Chinese Market 3
3.1.1 Black Silicon Carbide 88%min 0-10mm EXW China 3
3.1.2 Black Silicon Carbide 98%min 10-30mm EXW China 3
3.1.3 Black silicon carbide 98%min F16-100 EXW China 3
3.1.4 Green Silicon Carbide 98.5%min 10-30mm EXW China 4
3.1.5 Green Silicon Carbide 98.5%min F240 EXW China 4
3.1.6 Green Silicon Carbide 98%min JIS2000 EXW China 4
3.2 Chinese Export Market 4
3.2.1 Black Silicon Carbide 88%min 0-10mm FOB China 4
3.2.2 Black Silicon Carbide 98%min F16-100 FOB China 5
3.2.3 Green Silicon Carbide 98%min F240 FOB China 5
3.2.4 Green Silicon Carbide 98%min JIS2000 FOB China 5
3.3 International Market 5
3.3.1 Black Silicon Carbide 88%min 0-10mm CIF Europe 5
4. Company News 5
4.1 Xinjiang Yinaite halted green silicon carbide production 5
4.2 Xinjiang Longtenghaitai would halt green silicon carbide production 6
5 Producers Statistics 6
5.1 Chinese black silicon carbide producers' statistics 6
5.1.1 Chinese black silicon carbide producers' operating rate down by 1.18%MoM in January 6
5.1.2 Chinese black silicon carbide producers' output up down 2.38% MoM in January 6
5.1.3 Chinese black silicon carbide producers' inventory up by 10.28% MoM in January 7
5.2 Chinese Green silicon carbide producers' statistics 7
5.2.1 Chinese green silicon carbide producers' operating rate down by 27.76% MoM in January 7
5.2.2 Chinese green silicon carbide producers' output down by 80.39% MoM in January 8
5.2.3 Chinese green silicon carbide producers' inventory down by 4.95% MoM in January 8
6 Custom Statistics 8
6.1 China's silicon carbide export volume declined 23.88% YoY in Dec 2022 8
7 Relevant Industry News 9
7.1 Chinese FeSi market 9
8 Market Outlook for Next Month 9
8.1 Chinese market 10
8.1.1 Black silicon carbide 88%min 0-10mm EXW China 10
8.1.2 Black silicon carbide 98%min 10-30cm EXW China 10
8.1.3 Black silicon carbide 98%min F16-100 EXW China 10
8.1.4 Green silicon carbide 98.5%min 10-30cm EXW China 10
8.1.5 Green silicon carbide 98%min F240 EXW China 10
8.1.6 Green silicon carbide 98%min JIS2000 EXW China 10
8.2 Chinese export market 10
8.2.1 Black silicon carbide 88%min 0-10mm FOB China 10
8.2.2 Black silicon carbide 98%min F16-100 FOB China 10
8.2.3 Green silicon carbide 98%min F240 FOB China 10
8.2.4 Green silicon carbide 98%min JIS2000 FOB China 10
8.3 International market 10
8.3.1 Black silicon carbide 88%min 0-10mm CIF Europe 10

1 Market Highlights

Black silicon carbide
Given the sluggish market demand, most producers cut their prices to boost sales this month.

Considering the dropped domestic prices but rising RMB exchange rate, most exporters firmed their prices.

Green silicon carbide
Given the weak market demand but firm production costs, most producers insisted on their prices this month.

Most exporters firmed their prices this month given the soft overseas buyers' demand and steady domestic prices.

2 Economy and Policy

2.1 China's central bank to cut RRR by 0.25 percentage points
The People's Bank of China announced on January25 that it will cut reserve requirement ratio (RRR) for financial institutions by 0.25 percentage points, which will bring the weighted average RRR level to 7.8%. The RRR cut will take effect on January5 and is expected to inject 500 billion yuan (69.45 billion US dollars) of liquidity into the economy.

This policy would cut the financial costs of refractory companies.

3 Market Movements

3.1 Chinese Market
3.1.1 Black Silicon Carbide 88%min 0-10mm EXW China
In late January, the mainstream prices of Chinese black silicon carbide 88%min 0-10mm stood at RMB6,500-6,800/t (USD959-1,003/t) Inc-VAT EXW D/A 180 days, down by RMB100/t (USD15/t) from late last month. Given the sluggish market demand, most producers cut their prices to boost sales.

Black Silicon Carbide 88%min 0-10mm EXW China Price Trend from 2022-12-01 to 2023-01-31 (RMB/t)

3.1.2 Black Silicon Carbide 98%min 10-30mm EXW China
In late January, the prevailing prices of Chinese black silicon carbide 98%min 10-30cm hovered at RMB8,400-8,700/t (USD1,230-1,284/t) Inc-VAT EXW D/A 180 days, down by RMB100/t (USD15/t) from late last month. Considering the sluggish market demand, most producers cut their prices to boost sales.

Black Silicon Carbide 98%min 10-30mm EXW China Price Trend from 2022-12-01 to 2023-01-31 (RMB/t)

3.1.3 Black silicon carbide 98%min F16-100 EXW China
In late January, the prevailing prices of Chinese black silicon carbide 98%min F16-100 hovered at RMB10,700-11,000/t (USD1,579-1,624/t) Inc-VAT EXW D/A 180 days, down by RMB100/t (USD15/t) from late last month. Given the sluggish market demand, most producers cut their prices to boost sales.

Black silicon carbide 98%min F16-100 EXW China Price Trend from 2022-12-01 to 2023-01-31 (RMB/t)

3.1.4 Green Silicon Carbide 98.5%min 10-30mm EXW China
In late January, the mainstream prices of Chinese green silicon carbide 98.5%min F240 stood at RMB15,100-15,300/t (USD2,228-2,258/t) Inc-VAT EXW D/A 180 days, unchanged from late last month. Given the sluggish market demand but high petroleum coke prices, most producers firmed their prices.

Green Silicon Carbide 98.5%min 10-30mm EXW China Price Trend from 2022-12-01 to 2023-01-31 (RMB/t)

3.1.5 Green Silicon Carbide 98.5%min F240 EXW China
In late January, the prevailing prices of Chinese green silicon carbide 98.5%min F240 stood at RMB20,800-21,300/t (USD3,070-3,143/t) Inc-VAT EXW D/A 180 days, unchanged from late last month. In view of the soft market demand but high production costs, most processing plants still held their prices of micro powder firm.

Green Silicon Carbide 98.5%min F240 EXW China Price Trend from 2022-12-01 to 2023-01-31 (RMB/t)

3.1.6 Green Silicon Carbide 98%min JIS2000 EXW China
In late January, the mainstream prices of Chinese green silicon carbide 98.5%min JIS2000 stood at RMB27,000-28,000/t (USD3,985-4,133/t) Inc-VAT EXW D/A 180 days, unchanged from late last month. In consideration of the buyers' weak demand but high production costs, most processing plants still kept their prices unchanged.

Green Silicon Carbide 98%min JIS2000 EXW China Price Trend from 2022-12-01 to 2023-01-31 (RMB/t)

3.2 Chinese Export Market

3.2.1 Black Silicon Carbide 88%min 0-10mm FOB China
In late January, the mainstream export prices of Chinese black silicon carbide 88%min 0-10mm stood at USD1,060-1,090/t Inc-VAT FOB China, unchanged from late last month. Given the dropped domestic prices but rising RMB exchange rate, most exporters firmed their prices.

Black Silicon Carbide 88%min 0-10mm FOB China Price Trend from 2022-12-01 to 2023-01-31 (USD/t)

3.2.2 Black Silicon Carbide 98%min F16-100 FOB China
In late January, the mainstream export prices of Chinese black silicon carbide 98%min F16-100 stood at USD1,640-1,670/t Inc-VAT FOB China, unchanged from late last month. Given the dropped domestic prices but rising RMB exchange rate, most exporters firmed their prices.

Black Silicon Carbide 98%min F16-100 FOB China Price Trend from 2022-12-01 to 2023-01-31 (USD/t)

3.2.3 Green Silicon Carbide 98%min F240 FOB China
In late January, the mainstream export prices of Chinese green silicon carbide 98%min F240 stood at USD3,340-3,440/t Inc-VAT FOB China, unchanged from late last month. Given the sluggish overseas market demand but the steady domestic prices, most exporters firmed their prices.

Green Silicon Carbide 98%min F240 FOB China Price Trend from 2022-12-01 to 2023-01-31 (USD/t)

3.2.4 Green Silicon Carbide 98%min JIS2000 FOB China
In late January, the mainstream export prices of Chinese green silicon carbide 98%min JIS2000 stood at USD4,350-4,450/t Inc-VAT FOB China, unchanged from late last month. Considering the dormant overseas market demand but the firm domestic prices, most exporters stuck to their prices.

Green Silicon Carbide 98%min JIS2000 FOB China Price Trend from 2022-12-01 to 2023-01-31 (USD/t)

3.3 International Market

3.3.1 Black Silicon Carbide 88%min 0-10mm CIF Europe
In late January, the mainstream prices of black silicon carbide 88%min 0-10mm hovered at EUR1,210-1,260/t CIF Europe, unchanged from late last month. Given the dropped domestic prices but rising RMB exchange rate, most European sellers firmed their prices.

Black Silicon Carbide 88%min 0-10mm Delivered Europe Price Trend from 2022-12-01 to 2023-01-31 (EUR/t)

4. Company News

4.1 Xinjiang Yinaite halted green silicon carbide production
One of the major green silicon carbide producers in China, Xinjiang Yinaite New Energy Co., Ltd. halted green silicon carbide production on 20th December, produced nearly 1,000t in December. They halted production on 20th December due to the dim end market and plan to resumed on 6th February, a source from the company revealed, noting that their output in December reached about 1,000t. With a current production capacity of 45,000tpy, the company produced around 11,000t of green silicon carbide in 2022, compared to approximately 17,000t in 2021. They hold no inventory at present.

4.2 Xinjiang Longtenghaitai would halt green silicon carbide production
Xinjiang Longtenghaitai Ceramics Technology Co., Ltd., one of the major green silicon carbide producers in China, would halt green silicon carbide production since 10th January, expect an output of almost 400t in January. They plan to suspend production tomorrow to start our Spring Festival holiday and expect to resume on 15th February, a source from the company revealed, noting that their production volume in January would reach about 400t.With a current production capacity of 18,000tpy, the company produced around 10,000t of green silicon carbide in 2022, unchanged YoY. They hold an inventory of almost 200t at present.

5 Producers Statistics

5.1 Chinese black silicon carbide producers' statistics

5.1.1 Chinese black silicon carbide producers' operating rate down by 1.18%MoM in January
In January 2023, Chinese black silicon carbide producers' operating rate was 48%, down by 1.18% MoM and up by 19.15% YoY.

Chinese black silicon carbide producers' operating rate from Jan 2022 to Jan 2023 (%)

Chinese black silicon carbide producers' operating rate by province from Jan 2022 to Jan 2023 (%)

In January 2023, the black silicon carbide producers' operating rate in Gansu was 49.11%, unchanged MoM and up by 22.89% YoY; that in Ningxia was 42.86%, down by 3.29% and up by 23.87% YoY; that in other areas was 57.74%, unchanged MoM and up by 22.26% YoY.

5.1.2 Chinese black silicon carbide producers' output up down 2.38% MoM in January
In January 2023, Chinese black silicon carbide producers' output was 81,400t, down by 2.38% MoM and up by 67.49% YoY.

Chinese black silicon carbide producers' output from Jan 2022 to Jan 2023 (t)

In January 2023, the black silicon carbide producers' output in Gansu was 42,600t, unchanged MoM and up by 102.39% YoY; that in Ningxia was 26,000t, down by 7.14% MoM and up by 118.54% YoY; that in other areas was 12,800t, unchanged MoM and up by 481.81% YoY.

Chinese black silicon carbide producers' output by province from Jan 2022 to Jan 2023 (t)

5.1.3 Chinese black silicon carbide producers' inventory up by 10.28% MoM in January
In January 2023, Chinese black silicon carbide producers' inventory was 46,100t, up by 10.28% MoM and down by 12.85% YoY.

Chinese black silicon carbide producers' inventory from Jan 2022 to Jan 2023 (t)

In January 2023, the black silicon carbide producers' inventory in Gansu was 24,100t, up by 31.69% MoM and down by 8.71% YoY; that in Ningxia was 12,700t, down by 21.60% MoM and up by 29.59% YoY; that in other areas was 9,300t, up by 12.04% MoM and up by 135.69% YoY.

Chinese black silicon carbide producers' inventory by province from Jan 2022 to Jan 2023 (t)

5.2 Chinese Green silicon carbide producers' statistics

5.2.1 Chinese green silicon carbide producers' operating rate down by 27.76% MoM in January
In January 2023, Chinese green silicon carbide producers operating rate was 6.78%, down by 27.76% MoM and down by 3.05% YoY.

Chinese green silicon carbide producers' operating rate from Jan 2022 to Jan 2023 (t)

5.2.2 Chinese green silicon carbide producers' output down by 80.39% MoM in January
In January 2023, Chinese green silicon carbide producers' output was 1,500t, down by 80.39% MoM and down by 28.57% YoY.

Chinese green silicon carbide producers' output from Jan 2022 to Jan 2023 (%)

5.2.3 Chinese green silicon carbide producers' inventory down by 4.95% MoM in January
In January 2023, Chinese green silicon carbide producers' inventory was 9,600t, down by 4.95% MoM and up by 74.54% YoY.

Chinese green silicon carbide producers' inventory from Jan 2023 to Jan 2023 (t)

6 Custom Statistics

6.1 China's silicon carbide export volume declined 23.88% YoY in Dec 2022
In Dec 2022, China exported 33,158.08mt of silicon carbide, 43,562.02mt in the same period last year and 29,470.91mt in the previous month, down 23.88% YoY and up 12.51% MoM.
In Dec 2022, China exported USD39,081,185.00 worth of silicon carbide, USD45,103,415.00 in the same period last year and USD35,870,037.00 in the previous month, down 13.35% YoY and up 8.95% MoM. The average price was USD1,178.63/mt, USD1,035.38/mt in the same period last year and USD1,217.13/mt in the previous month.
In Jan-Dec 2022, China exported a total of 412,674.92mt of silicon carbide, 374,890.63mt in the same period last year, up 10.08% YoY.
China's export volume of silicon carbide in previous 13 months

China's export price of silicon carbide in previous 13 months

In Dec 2022, the top three export destinations of silicon carbide for China were United States, Japan and South Korea.
China exported 13,636.66mt of silicon carbide to United States, 17,049.58mt in the same period last year and 7,435.81mt in the previous month, down 20.02% YoY and up 83.39% MoM. The average price was USD611.02/mt, USD473.05/mt in the same period last year and USD973.47/mt in the previous month, up 29.18% YoY and down 37.20% MoM.
China exported 4,665.80mt of silicon carbide to Japan, 7,151.57mt in the same period last year and 5,926.34mt in the previous month, down 34.76% YoY and down 21.27% MoM. The average price was USD2,438.28/mt, USD1,781.89/mt in the same period last year and USD1,845.72/mt in the previous month, up 36.81% YoY and up 32.07% MoM.
China exported 3,215.89mt of silicon carbide to South Korea, 3,734.10mt in the same period last year and 2,919.00mt in the previous month, down 13.88% YoY and up 10.17% MoM. The average price was USD1,332.94/mt, USD1,276.36/mt in the same period last year and USD1,131.69/mt in the previous month, up 4.47% YoY and up 17.76% MoM.
China's export volume of silicon carbide to top three countries in previous 13 months

China's export volume of silicon carbide to top three countries in previous 13 months

7 Relevant Industry News

7.1 Chinese FeSi market
In late January, the mainstream prices of Chinese FeSi 72%min stood at RMB8,000-8,200/t (USD1,180-1,209/t) EXW D/P, unchanged from late last month. The high prices of FeSi led to increased demand for metallurgical silicon carbide.

Chinese ferro-silicon 72%min Price Trend from 2022-12-01 to 2023-01-31 (RMB/t)

8 Market Outlook for Next Month

8.1 Chinese market

8.1.1 Black silicon carbide 88%min 0-10mm EXW China
Although the market demand for black silicon carbide would stay soft in January, given the increasing production costs, the prices of this product would stay stable.

8.1.2 Black silicon carbide 98%min 10-30cm EXW China
Despite that the market demand for black silicon carbide would stay soft in January, considering the rising production costs, the prices of this product would stay firm.

8.1.3 Black silicon carbide 98%min F16-100 EXW China
Despite that the market demand for black silicon carbide would stay soft next month, in view of the rising production costs, the prices of this product would keep firm.

8.1.4 Green silicon carbide 98.5%min 10-30cm EXW China
Considering that the petroleum coke prices in Xinjiang stay high in late January, the prices of green silicon carbide would stay firm in the following month.

8.1.5 Green silicon carbide 98%min F240 EXW China
Given that the petroleum coke prices in Xinjiang remain firm in late January, the prices of green silicon carbide would keep steady next month.

8.1.6 Green silicon carbide 98%min JIS2000 EXW China
In view of the high prices of the petroleum coke prices in Xinjiang in late January, the prices of green silicon carbide would keep unchanged next month.

8.2 Chinese export market

8.2.1 Black silicon carbide 88%min 0-10mm FOB China
Considering the firm domestic prices, the export prices would flatten next month.

8.2.2 Black silicon carbide 98%min F16-100 FOB China
In view of the stable domestic prices, the export prices would keep stable next month.

8.2.3 Green silicon carbide 98%min F240 FOB China
In spite of the soft overseas market demand, given the high domestic prices, the export prices would stay steady next month.

8.2.4 Green silicon carbide 98%min JIS2000 FOB China
Although the overseas market demand remains soft, given the high domestic prices, the export prices would stay stable next month.

8.3 International market

8.3.1 Black silicon carbide 88%min 0-10mm CIF Europe
Given the stable prices in Chinese export market, the prices in European market would go steady in the following month.