Monthly Silicon Carbide Market Report Sep 2023

2023-10-16 08:24:46 【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 4
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 5
3.2.1 Black Silicon Carbide 88%min 0-10mm FOB China 5
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 6
3.3.1 Black Silicon Carbide 88%min 0-10mm CIF Europe 6
4. Company News 6
4.1 Ningxia Hexing resumed black silicon carbide production 6
4.2 Tianzhu Chuanggao resumed black silicon carbide production 6
4.3 Tianzhu Guangfu resumed black silicon carbide production 6
4.4 Tianzhu Qingfeng resumed black silicon carbide production 6
4.5 Lanzhou Xinyongda to resume black silicon carbide production 7
4.6 Lanzhou Xinyongda to resume black silicon carbide production 7
4.7 Qingyuan Dingsheng resumed black silicon carbide production 7
4.8 Yutongxinghe resumed black silicon carbide production 7
5 Producers Statistics 7
5.1 Chinese black silicon carbide producers' statistics 7
5.1.1 Chinese black silicon carbide producers' operating rate up by 7.13%MoM in September 7
5.1.2 Chinese black silicon carbide producers' output up by 18.62% MoM in September 8
5.1.3 Chinese black silicon carbide producers' inventory down by 25.70% MoM in September 8
5.2 Chinese Green silicon carbide producers' statistics 9
5.2.1 Chinese green silicon carbide producers' operating rate up by 0.81% MoM in September 9
5.2.2 Chinese green silicon carbide producers' output up by 1.90% MoM in September 9
5.2.3 Chinese green silicon carbide producers' inventory down by 19.00% MoM in September 9
6 Custom Statistics 10
6.1 China's silicon carbide export volume declined 37.01% YoY in Aug 2023 10
7 Relevant Industry News 11
8 Market Outlook for Next Month 11
8.1 Chinese Market 11
8.1.1 Black silicon carbide 88%min 0-10mm EXW China 11
8.1.2 Black silicon carbide 98%min 10-30cm EXW China 11
8.1.3 Black silicon carbide 98%min F16-100 EXW China 11
8.1.4 Green silicon carbide 98.5%min 10-30cm EXW China 11
8.1.5 Green silicon carbide 98%min F240 EXW China 11
8.1.6 Green silicon carbide 98%min JIS2000 EXW China 11
8.2 Chinese export Market 11
8.2.1 Black silicon carbide 88%min 0-10mm FOB China 11
8.2.2 Black silicon carbide 98%min F16-100 FOB China 11
8.2.3 Green silicon carbide 98%min F240 FOB China 11
8.2.4 Green silicon carbide 98%min JIS2000 FOB China 11
8.3 International Market 11
8.3.1 Black silicon carbide 88%min 0-10mm CIF Europe 11

1 Market Highlights

Black silicon carbide
Most producers lift their prices of 88%min in September based on the high costs and high demand, while they cut their prices of 98%min to boost sales in September due to the sluggish market demand.

Most exporters lift their prices of 88%min in late September due to the high market demand and the increased domestic prices while they cut their prices of 98%min in September due to the sluggish overseas market demand and reduced domestic prices.

Given the increased export prices and high demand, most European sellers lift their prices in the past month.

Green silicon carbide
Given the dropped petroleum coke prices and the sluggish market demand, most producers cut their prices to boost sales.

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

2 Economy and Policy

2.1 China H1 foreign trade exceeds 20 trillion yuan for first time
China's total goods imports and exports volume rose by 2.1% year-on-year to 20.1 trillion yuan (2.81 trillion U.S. dollars) in the first half of 2023, and it is the first time the country's foreign trade volume exceeded the 20 trillion yuan mark in the January-June period, according to the General Administration of Customs. In the first six months, China's exports hit 11.46 trillion yuan (1.6 trillion U.S. dollars), up by 3.7% YoY, while imports slightly declined by 0.1% YoY to 8.64 trillion yuan (1.21 trillion U.S. dollars).

The increasing export growth shows market confidence to China's economy.

2.2 China to scale up medium and long-term lending toward manufacturing sector
China is ready to unleash the potential of consumption further and create a consumption supply system of high-quality, said an official from the National Development and Reform Commission (NDRC) at a news conference held on September 17. According to NDRC, new efforts will be put in place to stabilize and expand investment in manufacturing. Efforts will also be made in providing more medium- and long-term loans towards manufacturing to realize high-quality growth of the sector.

This policy boost the long-term development of manufacture industry of China.

3 Market Movements

3.1 Chinese Market
3.1.1 Black Silicon Carbide 88%min 0-10mm EXW China
In late September, the mainstream prices of Chinese black silicon carbide 88%min 0-10mm stood at RMB4,900-5,200/t (USD670-711/t) Inc-VAT EXW D/A 180 days, up by RMB100/t (USD14/t) from late last month. Most producers lift their prices in September based on the high costs and high demand.

Black Silicon Carbide 88%min 0-10mm EXW China Price Trend from 2023-08-01 to 2023-09-27 (RMB/t)

3.1.2 Black Silicon Carbide 98%min 10-30mm EXW China
In late September, the prevailing prices of Chinese black silicon carbide 98%min 10-30cm hovered at RMB6,800-7,100/t (USD930-971/t) Inc-VAT EXW D/A 180 days, down by RMB100/t (USD14/t) from late last month. Most producers cut their prices to boost sales in September due to the sluggish market demand.

Black Silicon Carbide 98%min 10-30mm EXW China Price Trend from 2023-08-01 to 2023-09-27 (RMB/t)

3.1.3 Black silicon carbide 98%min F16-100 EXW China
In late September, the prevailing prices of Chinese black silicon carbide 98%min F16-100 hovered at RMB8,800-9,100/t (USD1,204-1,245/t) Inc-VAT EXW D/A 180 days, down by RMB200/t (USD28/t) from late last month. Most producers cut their prices to compete for orders in late September due to the sluggish market demand.

Black silicon carbide 98%min F16-100 EXW China Price Trend from 2023-08-01 to 2023-09-27 (RMB/t)

3.1.4 Green Silicon Carbide 98.5%min 10-30mm EXW China
In late September, the mainstream prices of Chinese green silicon carbide 98.5%min 10-30cm stood at RMB10,300-10,500/t (USD1,1409-1,437/t) Inc-VAT EXW D/A 180 days, down by RMB100/t (USD14/t) from late last month. Given the dropped petroleum coke prices and the sluggish market demand, most producers cut their prices to boost sales.

Green Silicon Carbide 98.5%min 10-30mm EXW China Price Trend from 2023-08-01 to 2023-09-27 (RMB/t)

3.1.5 Green Silicon Carbide 98.5%min F240 EXW China
In late September, the prevailing prices of Chinese green silicon carbide 98.5%min F240 stood at RMB14,600-15,100/t (USD1,998-2,066/t) Inc-VAT EXW D/A 180 days, down by RMB1,000/t (USD136/t) from late last month. Given the dropped lump prices and the sluggish market demand, most producers cut their prices to boost sales.

Green Silicon Carbide 98.5%min F240 EXW China Price Trend from 2023-08-01 to 2023-09-27 (RMB/t)

3.1.6 Green Silicon Carbide 98%min JIS2000 EXW China
In late September, the mainstream prices of Chinese green silicon carbide 98.5%min JIS2000 stood at RMB22,600-23,600/t (USD3,093-3,230/t) Inc-VAT EXW D/A 180 days, down by RMB200/t (USD14/t) from late last month. Given the dropped lump prices and the sluggish market demand, most producers cut their prices to compete for orders.

Green Silicon Carbide 98%min JIS2000 EXW China Price Trend from 2023-08-01 to 2023-09-27 (RMB/t)

3.2 Chinese Export Market

3.2.1 Black Silicon Carbide 88%min 0-10mm FOB China
In late September, the mainstream export prices of Chinese black silicon carbide 88%min 0-10mm stood at USD790-820/t Inc-VAT FOB China, up by USD5/t from late last month. Most exporters lift their prices down in late September due to the high market demand and the increased domestic prices.

Black Silicon Carbide 88%min 0-10mm FOB China Price Trend from 2023-08-01 to 2023-09-27 (USD/t)

3.2.2 Black Silicon Carbide 98%min F16-100 FOB China
In late September, the mainstream export prices of Chinese black silicon carbide 98%min F16-100 stood at USD1,280-1,310/t Inc-VAT FOB China, down by USD30/t from late last month. Most exporters cut their prices down due to the sluggish market demand and the dropped domestic prices.

Black Silicon Carbide 98%min F16-100 FOB China Price Trend from 2023-08-01 to 2023-09-27 (USD/t)

3.2.3 Green Silicon Carbide 98%min F240 FOB China
In late September, the mainstream export prices of Chinese green silicon carbide 98%min F240 stood at USD2,730-2,830/t Inc-VAT FOB China, down by USD30/t from late last month. Given the sluggish overseas market demand and the dropped domestic prices, most exporters cut their prices to boost sales.

Green Silicon Carbide 98%min F240 FOB China Price Trend from 2023-08-01 to 2023-09-27 (USD/t)

3.2.4 Green Silicon Carbide 98%min JIS2000 FOB China
In late September, the mainstream export prices of Chinese green silicon carbide 98%min JIS2000 stood at USD3,750-3,850/t Inc-VAT FOB China, down by USD10/t from late last month. Given the sluggish overseas market demand and the dropped domestic prices, most exporters cut their prices to boost sales.

Green Silicon Carbide 98%min JIS2000 FOB China Price Trend from 2023-08-01 to 2023-09-27 (USD/t)

3.3 International Market

3.3.1 Black Silicon Carbide 88%min 0-10mm CIF Europe
In late September, the mainstream prices of black silicon carbide 88%min 0-10mm hovered at EUR835-885/t CIF Europe, up by EUR5/t from late last month. Given the increased export prices and high demand, most European sellers lift their prices in the past month.

Black Silicon Carbide 88%min 0-10mm Delivered Europe Price Trend from 2023-08-01 to 2023-09-27 (EUR/t)

4. Company News

4.1 Ningxia Hexing resumed black silicon carbide production
A major black silicon carbide producer in China, Ningxia Hexing Carbon Materials Co., Ltd. resumed their black silicon carbide production about a week ago, expecting to produce about 2,000t in September. "We halted production since 1st June due to sluggish market demand. We could not lower our prices further down due to the high production costs. And given the market demand still in low position, we only opened one production line and estimate to have products in early September ", a source from the company disclosed, noting that they plan to produce about 2,000t next month. With a present annual production capacity of 75,000t, they produced about 54,000t in the past year and they only produced about 25,000t so far this year. They hold an inventory of nearly 2,000t at present.

4.2 Tianzhu Chuanggao resumed black silicon carbide production
A black silicon carbide producer from Gansu, Tianzhu Chuangao Silicon Carbide Co., Ltd. resumed their black silicon carbide production on 6th September after suspension for over five months, expecting to produce about 1,500t this month. "We halted our production in late March due the sluggish market demand and started to upgrading our workshop and furnace. Since the market demand recovered slightly compared with first half of 2023, we resumed production in early September", an insider from the company stated, noting that they predict to produce about 1,500t in September. With a current production capacity of 30,000tpy, they produced nearly 12,500t in 2022 and about 7,500t so far this year owing to the dormant market demand. They hold an inventory of almost 300t at the moment.

4.3 Tianzhu Guangfu resumed black silicon carbide production
A major black silicon carbide producer in Gansu, Tianzhu Guangfu Carbon Materials Co., Ltd. resumed their black silicon carbide production on 10th September after equipment upgrading and expected to produce about 1,500t in September. "We halted production on 15th March to upgrade our furnace and we finished the installment of environmental protectional equipment this month and resumed production on 10th September ", a source from the company disclosed, noting that they plan to produce about 1,500t this month. With a present annual production capacity of 50,000t, they produced about 30,000t in the past year and they only produced about 5,000t so far this year due to furnace upgrading. They hold an inventory of nearly 1,500t at the moment.

4.4 Tianzhu Qingfeng resumed black silicon carbide production
A major black silicon carbide producer in Gansu, Tianzhu Qingfeng Silicon Carbide Co., Ltd., resumed their black silicon carbide production in early September after suspension for over four months, expecting to produce nearly 600t this month. "We stopped production in late April to upgrade one furnace from 16,500KVA to 30,000KVA, while another furnace of 22,500KVA stay unchanged", a source from the company disclosed, adding that they now start the 22,500KVA furnace and expect to have first batch of products on 20th September, expecting an output of nearly 600t this month. Having a production capacity of 60,000tpy, this company produced around 23,000t in the previous year and produced about 11,000t so far in 2023. They already cleared out of their stocks in July and have no stock at present.

4.5 Lanzhou Xinyongda to resume black silicon carbide production
Lanzhou Xinyongda Silicon Carbide Co., Ltd., a primary black silicon carbide producer in Gansu, plans to resume black silicon carbide production on 25th September, expecting to produce about 600t next month. "Due to the sluggish demand and the fierce competition, we halted production in late July to control costs. But we plan to resume production next week as the market demand recovered.", an insider from the company revealed, noting that they plan to have the first batch of products on 14th October and produce about 600t next month. With a production capacity of 15,000tpy, they produced about 5,500t in 2022 and about 3,400t so far this year due to weak demand. They hold an inventory of nearly 100t at present.

4.6 Lanzhou Xinyongda to resume black silicon carbide production
Lanzhou Xinyongda Silicon Carbide Co., Ltd., a primary black silicon carbide producer in Gansu, plans to resume black silicon carbide production on 25th September, expecting to produce about 600t next month. "Due to the sluggish demand and the fierce competition, we halted production in late July to control costs. But we plan to resume production next week as the market demand recovered.", an insider from the company revealed, noting that they plan to have the first batch of products on 14th October and produce about 600t next month. With a production capacity of 15,000tpy, they produced about 5,500t in 2022 and about 3,400t so far this year due to weak demand. They hold an inventory of nearly 100t at present.

4.7 Qingyuan Dingsheng resumed black silicon carbide production
As a major black silicon carbide producer from Liaoning, Qingyuan Dingsheng Silicon Carbide Co., Ltd., resumed their black silicon carbide production on 10th September encouraged by the rising market demand, expecting to produce about 600t this month. "We stopped our production in early May given the stagnant market demand and the high inventory pressure and resumed production on 10th September as the market demand become warming", a source from the company disclosed, noting that they would have the first batch of products next week and plan to produce about 600t this month. With a current annual production capacity of 30,000t, they produced about 17,600t in 2022 and they and about only 7,200t so far in 2023. They have a stock of only 600t for the time being.

4.8 Yutongxinghe resumed black silicon carbide production
A black silicon carbide producer in Gansu, Tianzhu Yutongxinghe New Energy Development Co., Ltd., resumed black silicon carbide production on 15th September and believe to have the first batch of products on 2nd October, expecting an output of nearly 1,000t next month. "We stopped production in early April due to sluggish market demand as well as high inventory pressure. But as the demand turn better since late August, we resumed production on 15th September and expect to have the first batch of products on 2nd October", a source from the company disclosed, noting that they expect to produce about 1,000t in October. With a current annual production capacity of 30,000t, the company produced about 9,000t in 2022 and they only produced about 3,000t so far in 2023. They had no stock at the moment.

5 Producers Statistics

5.1 Chinese black silicon carbide producers' statistics

5.1.1 Chinese black silicon carbide producers' operating rate up by 7.13%MoM in September
In September 2023, Chinese black silicon carbide producers' operating rate was 54.17%, up by 7.13% MoM and up by 6.16% YoY.

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

In September 2023, the black silicon carbide producers' operating rate in Gansu was 44.95%, up by 7.12% MoM and up by 0.05% YoY; that in Ningxia was 65.56%, up by 5.17% MoM and up by 8.1% YoY; that in other areas was 62.62%, up by 10.82% MoM and up by 35.08% YoY.

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

5.1.2 Chinese black silicon carbide producers' output up by 18.62% MoM in September
In September 2023, Chinese black silicon carbide producers' output was 101,900t, up by 15.14% MoM and up by 18.62% YoY.

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

In September 2023, the black silicon carbide producers' output in Gansu was 44,800t, up by 18.83% MoM and up by 13.70% YoY; that in Ningxia was 38,000t, up by 8.57% MoM and up by 14.11% YoY; that in other areas was 19,100t, up by 20.88% MoM and up by 402.63% YoY.

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

5.1.3 Chinese black silicon carbide producers' inventory down by 25.70% MoM in September
In September 2023, Chinese black silicon carbide producers' inventory was 55,200t, down by 25.70% MoM and down by 5.15% YoY.

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

In September 2023, the black silicon carbide producers' inventory in Gansu was 23,100t, down by 32.05% MoM and down by 0.43% YoY; that in Ningxia was 20,900t, down by 18.99% MoM and up by 4.50% YoY; that in other areas was 11,200t, down by 22.75% MoM and up by 273.33% YoY.

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

5.2 Chinese Green silicon carbide producers' statistics

5.2.1 Chinese green silicon carbide producers' operating rate up by 0.81% MoM in September
In September 2023, Chinese green silicon carbide producers operating rate was 43.39%, up by 0.81% MoM and up by 6.86% YoY.

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

5.2.2 Chinese green silicon carbide producers' output up by 1.90% MoM in September
In September 2023, Chinese green silicon carbide producers' output was 10,700t, up by 1.90% MoM, up by 17.58% YoY.

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

5.2.3 Chinese green silicon carbide producers' inventory down by 19.00% MoM in September
In September 2023, Chinese green silicon carbide producers' inventory was 81,000t, down by 19.00% MoM and down by 3.57% YoY.

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

6 Custom Statistics

6.1 China's silicon carbide export volume declined 37.01% YoY in Aug 2023
In Aug 2023, China exported 27,075.15mt of silicon carbide, 42,983.31mt in the same period last year and 28,635.11mt in the previous month, down 37.01% YoY and down 5.45% MoM.
In Aug 2023, China exported USD33,297,558.00 worth of silicon carbide, USD48,842,628.00 in the same period last year and USD35,123,337.00 in the previous month, down 31.83% YoY and down 5.20% MoM. The average price was USD1,229.82/mt, USD1,136.32/mt in the same period last year and USD1,226.58/mt in the previous month.
In Jan-Aug 2023, China exported a total of 233,318.19mt of silicon carbide, 284,325.06mt in the same period last year, down 17.94% YoY.
China's export volume of silicon carbide in previous 13 months

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

In Aug 2023, the top three export destinations of silicon carbide for China were Japan, United States and South Korea.
China exported 5,113.99mt of silicon carbide to Japan, 5,236.33mt in the same period last year and 4,746.01mt in the previous month, down 2.34% YoY and up 7.75% MoM. The average price was USD1,923.17/mt, USD2,283.61/mt in the same period last year and USD2,226.19/mt in the previous month, down 15.81% YoY and down 13.61% MoM.
China exported 4,187.25mt of silicon carbide to United States, 19,916.03mt in the same period last year and 9,222.09mt in the previous month, down 78.98% YoY and down 54.60% MoM. The average price was USD925.47/mt, USD613.17/mt in the same period last year and USD670.27/mt in the previous month, up 50.90% YoY and up 38.06% MoM.
China exported 3,406.10mt of silicon carbide to South Korea, 2,795.99mt in the same period last year and 2,203.25mt in the previous month, up 21.82% YoY and up 54.59% MoM. The average price was USD1,111.32/mt, USD1,372.92/mt in the same period last year and USD1,297.63/mt in the previous month, down 19.08% YoY and down 14.41% MoM.

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

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

7 Relevant Industry News

7.1 Petroleum coke
The petroleum coke price decrease in the past month, which lead to the reduced production costs of green silicon carbide.

7.2 Anthracite
The price of anthracite keep stable in the past month, which lead to the firm production costs of black silicon carbide.

7.3 Carbon electrode
That the price of carbon electrode moved down in the past month lead to the reduced production costs of silicon carbide.

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 next month, given the high 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 the following month, considering the raised 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 high 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 this month, 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 the past month, 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 this month, 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.