Monthly Fused Alumina Market Report Mar 2023
2023-04-12 19:06:19 【Print】
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Contents
1 Market Highlights 3
2 Economy and Policy 3
3 Market Movement 3
3.1 Chinese Market 3
3.1.2 Brown fused alumina 95%min F36 EXW China 3
3.1.3 White fused alumina 99%min 1-3mm EXW China 3
3.1.4 White fused alumina 99%min F36 EXW China 3
3.2 Chinese Export Market 4
3.2.1 Brown fused alumina 95%min 1-3mm FOB China 4
3.2.2 Brown fused alumina 95%min F36 FOB China 4
3.2.3 White fused alumina 99%min 1-3mm FOB China 4
3.2.4 White fused alumina 99%min F36 FOB China 4
3.3 International Market 4
3.3.1 Brown fused alumina 95%min 1-3mm EXW India 4
3.3.2 Brown fused alumina 95%min F36 EXW India 4
3.3.3 Brown fused alumina 95%min 1-3mm in Warehouse Rotterdam 5
3.3.4 White fused alumina 99%min 1-3mm in Warehouse Rotterdam 5
4 Company news 5
4.1 Guizhou Yinxing resumed brown fused alumina production 5
4.2 Guizhou Jinyi to resume brown fused alumina production 5
4.3 Luoyang Kaifa to suspend brown fused alumina production 5
5 Producer Statistics 5
5.1 Chinese brown fused alumina producers' statistics 5
5.1 . 2 Chinese brown fused alumina producers' output up by 11.19% MoM in Mar 6
5.1 . 3 Chinese brown fused alumina producers' inventory down by 14.43% MoM in Mar 6
5.2 Chinese white fused alumina producers' statistics 7
5.2 . 1 Chinese white fused alumina producers' operating rate up by 0.72% MoM in Mar 7
5.2 . 3 Chinese white fused alumina producers' inventory down by 5.65% MoM in Mar 7
6 Custom Statistics 8
6.1 China's brown fused alumina export volume fell 46.11% MoM in Feb 2023 8
6.2 China's white fused alumina export volume declined 37.42% MoM in Feb 2023 9
7 Relevant Industry News 9
8 Market Outlook for Next Month 10
8.1 Chinese market 10
8.1.1 Brown fused alumina 95%min 1-3mm EXW China 10
8.1.2 Brown fused alumina 95%min F36 EXW China 10
8.1.3 White fused alumina 99%min 1-3mm EXW China 10
8.1.4 White fused alumina 99%min F36 EXW China 10
8.2 Chinese Export Market 10
8.2.1 Brown fused alumina 95%min 1-3mm FOB China 10
8.2.2 Brown fused alumina 95%min F36 FOB China 10
8.2.3 White fused alumina 99%min 1-3mm FOB China 10
8.2.4 White fused alumina 99%min F36 FOB China 10
8.3 International Market 10
8.3.1 Brown fused alumina 95%min 1-3mm EXW India 10
8.3.2 Brown fused alumina 95%min F36 EXW India 10
8.3.3 Brown fused alumina 95%min 1-3mm in Warehouse Rotterdam 10
8.3.4 White fused alumina 99%min 1-3mm in Warehouse Rotterdam 10
1 Market Highlights
Brown fused alumina:
Given the sluggish market demand, most producers cut their prices this month to boost sales.
Considering the dropped domestic prices and weak overseas demand, most exporters reduced their prices this month.
White fused alumina:
Despite the stable alumina prices, given the sluggish demand, most producers cut their prices this month to compete for orders.
Most exporters cut their prices to boost sales on basis of the reduced domestic prices and weak market demand.
2 Economy and Policy
2.1 China to cut reserve requirement ratio by 0.25 percentage points
China's central bank announced that it will cut the reserve requirement ratio (RRR) for financial institutions by 0.25 percentage points from March 27, except for some incorporated financial institutions that have already implemented an RRR of 5% . The cut will bring the weighted average RRR level to 7 . 6%.
The low RRR ratio would ease the financial pressure for silicon carbide market participants.
2.2 China further enforces preferential policies for small businesses regarding income tax
The Chinese Ministry of Finance and State Taxation Administration jointly issued an announcement on preferential policies for small businesses regarding income tax. According to the announcement, from January 1, 2023 to December 31, 2024 an enterprise income tax rate of 20% will be applied to annual taxable income no higher than RMB1 million (USD0 . 15 million) of small and micro businesses, and the individual income tax rate will be halved, in addition to current preferential policies, for annual taxable income no higher than RMB1 million (USD0 . 15 million) of privately or individually-owned businesses.
The new tax policy would help silicon carbide companies cut production costs.
3 Market Movement
3.1 Chinese Market
By the end of March, the mainstream prices of Chinese brown fused alumina 95%min 1-3mm stood at RMB4,850-5,050/t (USD705-734/t) Inc-VAT EXW D/A 180 days, down by RMB50/t (USD7/t) MoM. Despite the firm production costs, given the sluggish market demand, most producers cut their prices this month to compete for orders.
Prices of brown fused alumina 95%min 1-3mm EXW China from 2023-01-01 to 2023-02-28 (RMB/t)
3.1.2 Brown fused alumina 95%min F36 EXW China
In late March, the mainstream prices of Chinese brown fused alumina 95%min F36 stood at RMB5,350-5,550/t (USD778-807/t) Inc-VAT EXW D/P, down by RMB50/t (USD7/t) MoM. Despite the firm production costs, most producers, given the sluggish market demand, cut their prices this month to compete for orders.
Prices of brown fused alumina 95%min F36 EXW China from 2023-01-01 to 2023-02-28 (RMB/t)
3.1.3 White fused alumina 99%min 1-3mm EXW China
By the end of March, the mainstream prices of white fused alumina 99%min 1-3mm stood at RMB4,500-4,600/t (USD654-668/t) Inc-VAT EXW D/P, down by RMB50/t (USD7/t) MoM. Despite the high production costs, most producers, given the sluggish market demand, cut their prices this month to compete for orders.
Prices of white fused alumina 99%min 1-3mm EXW China from 2023-01-01 to 2023-02-28 (RMB/t)
3.1.4 White fused alumina 99%min F36 EXW China
In late March, the mainstream prices of Chinese white fused alumina 99%min F36 stayed at RMB4,900-5,100/t (USD712-741/t) Inc-VAT EXW D/P, down by RMB50/t (USD7/t) MoM. Despite the firm production costs, considering the sluggish market demand, most producers cut their prices this month to compete for orders.
Prices of white fused alumina 99%min F36 EXW China from 2023-01-01 to 2023-02-28 (RMB/t)
3.2 Chinese Export Market
3.2.1 Brown fused alumina 95%min 1-3mm FOB China
By the end of March, the mainstream export prices of Chinese brown fused alumina 95%min 1-3mm stood at USD710-730/t Ex-VAT FOB China, down by USD10/t MoM. Owing to the reduced domestic prices and the weak market demand, most exporters cut their prices.
Price trend of brown fused alumina 95%min 1-3mm FOB China from 2023-01-01 to 2023-02-28 (USD/t)
3.2.2 Brown fused alumina 95%min F36 FOB China
In late March, the mainstream export prices of Chinese brown fused alumina F36 stayed at USD780-800/t FOB China, down by USD10/t MoM. Due to the weak market demand, most exporters cut their prices to boost sales.
Price trend of brown fused alumina 95%min F36 FOB China from 2023-01-01 to 2023-02-28 (USD/t)
3.2.3 White fused alumina 99%min 1-3mm FOB China
By the end of March, the export prices of Chinese white fused alumina 99%min 1-3mm increased to USD650-670/t FOB China, unchanged MoM. Supported by the stable domestic prices and, most exporters firmed their prices this month.
Price trend of white fused alumina 99%min 1-3mm FOB China from 2023-01-01 to 2023-02-28 (USD/t)
3.2.4 White fused alumina 99%min F36 FOB China
In late March, the mainstream export prices of Chinese white fused alumina 99%min F36 stayed at USD720-740/t FOB China, down by USD10/t MoM. Owing to the reduced domestic prices and the weak market demand, most exporters cut their prices.
Price trend of white fused alumina 99%min F36 FOB China from 2023-01-01 to 2023-02-28 (USD/t)
3.3 International Market
3.3.1 Brown fused alumina 95%min 1-3mm EXW India
By the end of March, the mainstream prices of brown fused alumina 95%min 1-3mm in Indian market stayed at INR80,000-81,000/t Inc-VAT EXW T/T 45 days, down by INR8,500/t from late last week. Considering the low prices pressure from Chinese competitors, most Indian producers cut their prices this week to maintain sales.
Price trend of brown fused alumina 95%min 1-3mm EXW India from 2023-01-01 to 2023-02-28 (INR/t)
3.3.2 Brown fused alumina 95%min F36 EXW India
By the end of March, the mainstream prices of brown fused alumina 95%min F36 in Indian market stood at INR81,000-82,000/t Inc-VAT EXW T/T 45 days, down by INR13,500/t from late last week. Considering the low prices pressure from Chinese competitors, most Indian producers cut their prices this week to maintain sales.
Price trend of brown fused alumina 95%min F36 EXW India from 2023-01-01 to 2023-02-28 (INR/t)
3.3.3 Brown fused alumina 95%min 1-3mm in Warehouse Rotterdam
In late March, the mainstream prices of European brown fused alumina 95%min 1-3mm stood at EUR780-830/t T/T 30 days in Warehouses Rotterdam, down by EUR70/t MoM. Based on the declined prices from Chinese suppliers and weak demand, most suppliers in European lower their prices this month.
Price trend of brown fused alumina 95%min 1-3mm in Warehouse Rotterdam from 2023-01-01 to 2023-02-28 (EUR/t)
3.3.4 White fused alumina 99%min 1-3mm in Warehouse Rotterdam
By the end of March, the mainstream prices of white fused alumina 99%min 1-3mm hovered at EUR710-760/t in Warehouse Rotterdam, down by EUR60/t MoM. Based on the declined prices from Chinese suppliers and weak demand, most suppliers in European lower their prices this month.
Price trend of white fused alumina 95%min 1-3mm in warehouse Rotterdam from 2023-01-01 to 2023-02-28 (EUR/t)
4 Company news
4.1 Guizhou Yinxing resumed brown fused alumina production
A major brown fused alumina producer in Guizhou, Guizhou Yinxing New Materials Co., Ltd . resumed production today after the local power supply restored, expecting an output of nearly 1,200t in March . "We suspended production in early December due to the power supply shortage in Guizhou and resumed production today", a source from the company disclosed, noting that they received no orders so far due to the sluggish demand, but plan to produce about 1,200t in March . With a production capacity of 45,000tpy, the company produced about 15,000t in 2022 while they produced about 25,000t in 2021 . Currently they hold no inventory.
4.2 Guizhou Jinyi to resume brown fused alumina production
A major brown fused alumina producer in Guizhou, Guizhou Jinyi Abrasive Materials Co., Ltd . plans to resume production in two weeks after the local power supply shortage problem solved, expecting to produce about 600t in April . "We halted production in early January owing to the power supply shortage in Guizhou and estimate to resume production in two weeks", a source from the company claimed, noting that the power supply restored in early March, but due to the sluggish market demand, they decided to resume in the end of this month . With a production capacity of 45,000tpy, the company produced about 5,000t in 2022 and they expected to keep same production scale in 2023 . They hold no inventory at present.
4.3 Luoyang Kaifa to suspend brown fused alumina production
Luoyang Kaifa Abrasive Materials Co., Ltd . , a major brown fused alumina producer in Henan, plans to suspend production since 1st April due to sluggish market demand and would resume production after the market demand recovered . "We plan to suspend production since 1st April owing to the sluggish market demand and predict to have an output of nearly 2,000t this month", a source from the company revealed, noting that they would consider to resume production after the market demand turn better or keep their inventory to a lower level . With a production capacity of 35,000tpy, the company produced about 15,000t in 2022 compared to about 17,000t in 2021 . Currently they hold an inventory of nearly 2,000t.
5 Producer Statistics
5.1 Chinese brown fused alumina producers' statistics
5.1 . 1 Chinese brown fused alumina producers' operating rate up by 2.85% MoM in Mar
In March 2023, China's operating rate of brown fused alumina producers was 26.19%, up by 2 . 85% MoM and down by 6 . 55% YoY.
Chinese brown fused alumina producers' operating rate from Mar 2022 to Mar 2023 (t)
In March 2023, the operation rate of producers in Guizhou was 20.22%, up by 6 . 92% MoM and down by 22 . 82% YoY; that in Henan was 20 . 95%, up by 0 . 82% MoM and up by 4 . 75% YoY; that in Shanxi was 45 . 33%, up by 4 . 46% MoM and down by 11 . 84% YoY; that in other area was 50 . 45%, unchanged MoM and up by 0 . 86% YoY.
Chinese brown fused alumina producers' operating rate from Mar 2022 to Mar 2023 (t)
5.1 . 2 Chinese brown fused alumina producers' output up by 11.19% MoM in Mar
In March 2023, Chinese brown fused alumina producers' output was 70,900t, up by 11.19% MoM and down by 22 . 34% YoY.
Chinese brown fused alumina producers' output from Mar 2022 to Mar 2023
Chinese brown fused alumina producers' output by province from
Mar 2022 to Mar 2023
In March 2023, in Guizhou was 15,500t, up by 51.96% MoM and down by 53 . 03% YoY; that in Shanxi was 12,200t, up by 10 . 90% MoM and down by 25 . 60% YoY; that in Henan was 29,200t, up by 2 . 24% MoM and up by 22 . 17% YoY; that in other area was 14,000t, unchanged MoM and down by 22 . 22% YoY.
5.1 . 3 Chinese brown fused alumina producers' inventory down by 14.43% MoM in Mar
In March2023, Chinese brown fused alumina producers' inventory was 67,600t, down by 14.43% MoM and down by 23 . 52% YoY.
Chinese brown fused alumina producers' inventory from Mar 2022 to Mar 2023(t)
In March 2023, the brown fused alumina producers' inventory in Guizhou was 14,000t, down by 4.28% MoM and down by 62 . 86% YoY; that in Shanxi was 10,300t, down by 27 . 46% MoM and down by 42 . 78% YoY; that in Henan was 29,000t, down by 16 . 18% MoM and up by 184 . 31% YoY; that in other area was 14,300t, down by 8 . 33% MoM, down by 36 . 44% YoY.
Chinese brown fused alumina producers' inventory by province from
Mar 2022 to Mar 2023(t)
5.2 Chinese white fused alumina producers' statistics
5.2 . 1 Chinese white fused alumina producers' operating rate up by 0.72% MoM in Mar
In March 2023, Chinese white fused alumina producers' operating rate was 40.53%, up by 0 . 72% MoM and up by 7 . 33% YoY.
Chinese white fused alumina producers' operating rate from Mar 2022 to Mar 2023 (%)
In March 2023, the operating rate of white fused alumina producers in Henan was 43.75%, up by 0 . 55% MoM and up by 7 . 27% YoY; that in Shandong was 35 . 39%, up by 1 . 03% MoM and up by 7 . 73% YoY; that in other area was 48%, unchanged MoM, up by 5 . 76% YoY.
Chinese white fused alumina producers' operating rates by province from Mar 2022 to Mar 2023
5.2 . 2 Chinese white fused alumina producers' output up by 1.79% MoM in Mar
In March 2023, Chinese white fused alumina producers' output was 83,040t, up by 1.79% MoM and up by 25 . 15% YoY.
Chinese white fused alumina producers' output from Mar 2022 to Mar 2023
In March 2023, the white fused alumina producers' output in Henan was 51,700t, up by 1.27% MoM and up by 21 . 22% YoY; that in Shandong was 28,840t, up by 3% MoM and up by 34 . 13% YoY; that in other area was 2,500t, unchanged MoM and up by 150% YoY.
Chinese white fused alumina producers' output by province from Mar 2022 to Mar 2023 (t)
5.2 . 3 Chinese white fused alumina producers' inventory down by 5.65% MoM in Mar
In March 2023, Chinese white fused alumina producers' inventory was 44,250t, down by 5.65% MoM and up by 67 . 61% YoY.
Chinese white fused alumina producers' inventory from Mar 2022 to Mar 2023 (t)
Chinese white fused alumina producers' inventory by province from
Mar 2022 to Mar 2023 (t)
In March 2023, the white fused alumina producers' inventory in Henan was 27,750t, down by 8.41% MoM and up by 49 . 19% YoY; that in Shandong was 15,500t, unchanged MoM and up by 142 . 18% YoY; that in other area was 1,100t, unchanged MoM and up by 120 . 00% YoY.
6 Custom Statistics
6.1 China's brown fused alumina export volume fell 46.11% MoM in Feb 2023
In Feb 2023, China exported 22,145.39mt of brown fused alumina, 21,461 . 92mt in the same period last year and 41,092 . 06mt in the previous month, up 3 . 18% YoY and down 46 . 11% MoM.
In Feb 2023, China exported USD41,034,651.00 worth of brown fused alumina, USD23,956,784 . 00 in the same period last year and USD60,306,182 . 00 in the previous month, up 71 . 29% YoY and down 31 . 96% MoM . The average price was USD1,852.97/mt, USD1,116.25/mt in the same period last year and USD1,467.59/mt in the previous month.
In Jan-Feb 2023, China exported a total of 63,237.45mt of brown fused alumina, 63,972 . 33mt in the same period last year, down 1 . 15% YoY.
China's export volume of brown fused alumina in previous 13 months
China's export price of brown fused alumina in previous 13 months
In Feb 2023, the top three export destinations of brown fused alumina for China were Japan, India and South Korea.
China exported 4,159.14mt of brown fused alumina to Japan, 6,116 . 11mt in the same period last year and 6,984 . 49mt in the previous month, down 32 . 00% YoY and down 40 . 45% MoM . The average price was USD2,476.52/mt, USD1,216.94/mt in the same period last year and USD1,632.04/mt in the previous month, up 103 . 53% YoY and up 51 . 78% MoM.
China exported 3,040.00mt of brown fused alumina to India, 1,494 . 80mt in the same period last year and 2,386 . 93mt in the previous month, up 103 . 37% YoY and up 27 . 36% MoM . The average price was USD1,181.40/mt, USD1,134.42/mt in the same period last year and USD1,242.53/mt in the previous month, up 4 . 14% YoY and down 4 . 99% MoM.
China exported 2,226.59mt of brown fused alumina to South Korea, 1,205 . 00mt in the same period last year and 1,970 . 20mt in the previous month, up 84 . 78% YoY and up 13 . 01% MoM . The average price was USD2,477.78/mt, USD1,607.33/mt in the same period last year and USD2,167.44/mt in the previous month, up 54 . 20% YoY and up 14 . 35% MoM.
China's export volume of brown fused alumina to top three countries in previous 13 months
China's export price of brown fused alumina to top three countries in previous 13 months
6.2 China's white fused alumina export volume declined 37.42% MoM in Feb 2023
In Feb 2023, China exported 19,503.15mt of white fused alumina, 23,439 . 77mt in the same period last year and 31,164 . 28mt in the previous month, down 16 . 79% YoY and down 37 . 42% MoM.
In Feb 2023, China exported USD33,176,032.00 worth of white fused alumina, USD26,497,011 . 00 in the same period last year and USD44,484,559 . 00 in the previous month, up 25 . 21% YoY and down 25 . 42% MoM . The average price was USD1,701.06/mt, USD1,130.43/mt in the same period last year and USD1,427.42/mt in the previous month.
In Jan-Feb 2023, China exported a total of 50,667.43mt of white fused alumina, 64,679 . 73mt in the same period last year, down 21 . 66% YoY.
China's export volume of white fused alumina in previous 13 months
China's export price of white fused alumina in previous 13 months
In Feb 2023, the top three export destinations of white fused alumina for China were Japan, South Korea and Poland.
China exported 2,491.35mt of white fused alumina to Japan, 1,514 . 79mt in the same period last year and 3,979 . 70mt in the previous month, up 64 . 47% YoY and down 37 . 40% MoM . The average price was USD2,276.29/mt, USD1,537.36/mt in the same period last year and USD1,452.04/mt in the previous month, up 48 . 08% YoY and up 56 . 75% MoM.
China exported 1,867.70mt of white fused alumina to South Korea, 335 . 00mt in the same period last year and 2,600 . 76mt in the previous month, up 457 . 52% YoY and down 28 . 19% MoM . The average price was USD1,765.92/mt, USD1,657.33/mt in the same period last year and USD1,599.59/mt in the previous month, up 6 . 58% YoY and up 10 . 38% MoM.
China exported 1,806.05mt of white fused alumina to Poland, 454 . 00mt in the same period last year and 751 . 00mt in the previous month, up 297 . 81% YoY and up 140 . 49% MoM . The average price was USD828.40/mt, USD880.19/mt in the same period last year and USD1,350.67/mt in the previous month, down 5 . 91% YoY and down 38 . 71% MoM.
China's export volume of white fused alumina to top three countries in previous 13 months
China's export price of white fused alumina to top three countries in previous 13 months
7 Relevant Industry News
7.1 Caustic calcined bauxite
The caustic calcined bauxite Al2O3 85%min prices stood firm in the past month, which lead to the stable production costs of brown fused alumina.
7.2 Alumina Powder
The price of alumina Al2O3 98.5%min Na2O 0 . 3%max stood stable in the past month, which supported the firm prices of white fused alumina.
7.3 Carbon electrode
Discouraged by the prices decline of petroleum coke, the mainstream prices moved down in the past month.
8 Market Outlook for Next Month
8.1 Chinese market
8.1.1 Brown fused alumina 95%min 1-3mm EXW China
As the market prices already decreased close to production cost line, most producers already cut or even halted production rather than lowering their prices further next month.
8.1.2 Brown fused alumina 95%min F36 EXW China
As the market prices already dropped close to production cost line, most producers already decreased or even suspended production instead of cutting their prices further.
8.1.3 White fused alumina 99%min 1-3mm EXW China
As the alumina price keep stable, most producers would firm their prices next month.
8.1.4 White fused alumina 99%min F36 EXW China
As the alumina price keep steady, most producers would hold their prices firm next month.
8.2 Chinese Export Market
8.2.1 Brown fused alumina 95%min 1-3mm FOB China
Considering the stabilized domestic prices, the export prices would increase next month.
8.2.2 Brown fused alumina 95%min F36 FOB China
Given the flattened domestic prices, the export prices would rise next month.
8.2.3 White fused alumina 99%min 1-3mm FOB China
Considering the steady domestic prices, the export prices would move up next month.
8.2.4 White fused alumina 99%min F36 FOB China
Considering the stable domestic prices, the export prices would go up next month.
8.3 International Market
8.3.1 Brown fused alumina 95%min 1-3mm EXW India
Though the prices in Chinese market decreased, most Indian producers still intend to keep their prices firm based on firm production cost and no inventory pressure.
8.3.2 Brown fused alumina 95%min F36 EXW India
Though the prices in Chinese market decreased, most Indian producers still intend to keep their prices firm based on firm production cost and no inventory pressure.
8.3.3 Brown fused alumina 95%min 1-3mm in Warehouse Rotterdam
Based on the stable prices in Chinese export market, the prices in Europe would keep stable next month.
8.3.4 White fused alumina 99%min 1-3mm in Warehouse Rotterdam
Based on firm prices in Chinese export market, the prices in Europe would stay steady next month.