The graphite electrode market in China sluggish
2024-03-06 07:52:28 [Print]
BEIJING (Asian Metal) 6 Mar 24 - The purchase demand for graphite electrode in China remained stagnant over the past two weeks with market participants pessimistic towards prices. Current mainstream prices for UHP graphite electrode D600mm in China stand at RMB16,200-16,700/t (USD2,250-2,320/t) EXW D/A, down by RMB250/t (USD35/t) from late last week and prices might edge down in the coming two weeks.
A Hebei-based trader of graphite electrode reported that they purchased around 100t of UHP graphite electrode D600mm at around RMB16,800/t (USD2,334/t) delivered D/A with the freight over RMB300/t (USD42/t) early this week against the offer of RMB17,000/t (USD2,361/t) delivered D/A. "We previously ordered the same volume late last year at around RMB17,000/t (USD2,361/t) delivered," said the source, who predicted that mainstream prices would go down further in the coming two weeks and they do not plan to place a new order in the coming month for the quiet demand.
The trader, with the regular purchase volume of around 700tpm, did not purchase last month and ordered around 100t in March. They ordered around 7,000t last year and hold no stock now.
A graphite electrode producer in Liaoning confirmed that they usually could restart production in March every year but might resume production in the coming two months this year due to the quiet demand. "We sold around 120t of HP graphite electrode D500mm at around RMB14,500/t (USD2,014/t) EXW one week ago and could accept cheaper prices now if there are firm orders," said the source, who forecasted that mainstream pries would move down in the coming two weeks due to the weak demand.
Based on the annual production capacity of 25,000t and one production line, they shut down production in October last year for the low temperature and would not restart in March for the dull demand, with present stocks around 2,000t. They produced over 10,000t in 2023.
A Hebei-based trader of graphite electrode reported that they purchased around 100t of UHP graphite electrode D600mm at around RMB16,800/t (USD2,334/t) delivered D/A with the freight over RMB300/t (USD42/t) early this week against the offer of RMB17,000/t (USD2,361/t) delivered D/A. "We previously ordered the same volume late last year at around RMB17,000/t (USD2,361/t) delivered," said the source, who predicted that mainstream prices would go down further in the coming two weeks and they do not plan to place a new order in the coming month for the quiet demand.
The trader, with the regular purchase volume of around 700tpm, did not purchase last month and ordered around 100t in March. They ordered around 7,000t last year and hold no stock now.
A graphite electrode producer in Liaoning confirmed that they usually could restart production in March every year but might resume production in the coming two months this year due to the quiet demand. "We sold around 120t of HP graphite electrode D500mm at around RMB14,500/t (USD2,014/t) EXW one week ago and could accept cheaper prices now if there are firm orders," said the source, who forecasted that mainstream pries would move down in the coming two weeks due to the weak demand.
Based on the annual production capacity of 25,000t and one production line, they shut down production in October last year for the low temperature and would not restart in March for the dull demand, with present stocks around 2,000t. They produced over 10,000t in 2023.
