Chinese magnesium ingot suppliers reject to accept price cuts further
2023-03-24 07:40:36 [Print]
BEIJING (Asian Metal) 24 Mar 23 - As most magnesium ingot suppliers suffered price inversion seriously, few of them had intention to accept price cuts from buyers in the recent two days. The prevailing Chinese magnesium ingot prices stood at the range of RMB19,900-20,200/t (USD2,884-2,927/t) EXW D/P, unchanged in the recent two days but down by RMB200/t (USD28/t) from late last week. Insiders are of the opinion that the mainstream Chinese magnesium ingot prices would stay weakly stable in view of little intentions to accept price cuts from buyers and pressure on price inversion from suppliers in the coming days.
"I quoted RMB20,000/t (USD2,898/t) EXW D/P for magnesium ingot and rejected to accept RMB19,900/t (USD2,884/t) for a firm bid from regular clients due to price inversion and little intentions to promote sales below this level," said a magnesium ingot producer in North China, adding that he plans to decrease his output by half in early April to decrease his pressures on price funds. He last sold about 100t of the metal early this week at RMB20,000/t (USD2,898/t) and rejected to lower offers further. Taking little intention to accept price cuts from suppliers into consideration, he predicts the mainstream prices for magnesium ingot would stay weakly stable in the coming two days.
With an annual production capacity of 35,000t, the producer predicts to produce about 1,500t of the metal in March and produced about 2,200t in February. He holds about 1,600t of stocks now, almost identical to late last month. He produced about 32,500t in 2022 and predicts to produce about 6,600t of the metal in Q1 of 2023.
"The most competitive quotation for magnesium ingot we received stood at RMB19,900/t (USD2,884/t) EXW D/P and RMB19,400/t (USD2,811/t) Ex-VAT D/P in Shaanxi without any further concessions from suppliers, but it still stayed beyond my acceptance," said a magnesium ingot trader in North China, noting that he didn't purchase the metal in the recent days for lack of deals and only purchased about 31t this Tuesday at RMB19,900/t (USD2,884/t). Due to potential output reduction among suppliers and little intentions to accept counter bids from suppliers, he predicts the mainstream prices would have little room to edge down. He will be cautious to the market trend and only hold hand-to-mouth purchase style to confront the market in the coming days.
The trader, with a regular monthly trading volume of about 1,000t, predicts to sell about 600t in March and sold about 900t in February. He holds no stock now, unchanged from late last month. He sold about 12,000t of the metal in 2022 and sold about 2,100t of the metal in Q1 of 2023.
"I quoted RMB20,000/t (USD2,898/t) EXW D/P for magnesium ingot and rejected to accept RMB19,900/t (USD2,884/t) for a firm bid from regular clients due to price inversion and little intentions to promote sales below this level," said a magnesium ingot producer in North China, adding that he plans to decrease his output by half in early April to decrease his pressures on price funds. He last sold about 100t of the metal early this week at RMB20,000/t (USD2,898/t) and rejected to lower offers further. Taking little intention to accept price cuts from suppliers into consideration, he predicts the mainstream prices for magnesium ingot would stay weakly stable in the coming two days.
With an annual production capacity of 35,000t, the producer predicts to produce about 1,500t of the metal in March and produced about 2,200t in February. He holds about 1,600t of stocks now, almost identical to late last month. He produced about 32,500t in 2022 and predicts to produce about 6,600t of the metal in Q1 of 2023.
"The most competitive quotation for magnesium ingot we received stood at RMB19,900/t (USD2,884/t) EXW D/P and RMB19,400/t (USD2,811/t) Ex-VAT D/P in Shaanxi without any further concessions from suppliers, but it still stayed beyond my acceptance," said a magnesium ingot trader in North China, noting that he didn't purchase the metal in the recent days for lack of deals and only purchased about 31t this Tuesday at RMB19,900/t (USD2,884/t). Due to potential output reduction among suppliers and little intentions to accept counter bids from suppliers, he predicts the mainstream prices would have little room to edge down. He will be cautious to the market trend and only hold hand-to-mouth purchase style to confront the market in the coming days.
The trader, with a regular monthly trading volume of about 1,000t, predicts to sell about 600t in March and sold about 900t in February. He holds no stock now, unchanged from late last month. He sold about 12,000t of the metal in 2022 and sold about 2,100t of the metal in Q1 of 2023.
