Chinese fused magnesia consumers show firm refusals to further increased prices
2024-04-18 08:20:31 [Print]
BEIJING (Asian Metal) 18 Apr 24 - Supported by increased magnesite prices, most producers raised their prices this week. The current mainstream prices of Chinese fused magnesia 97%min 0-30mm Ca/Si=1min stand at RMB2,950-3,050/t (USD409-423/t) EXW D/A 180 days, up by around RMB50/t (USD7/t) from a week ago. As most consumers could hardly raise their prices of finished products and refuse further increased prices of fused magnesia, insiders predict that the mainstream prices of Chinese fused magnesia would stabilize in the coming two weeks.
"We purchased about 1,000t of fused magnesia 97%min 0-30mm Ca/Si=1min at RMB2,950/t (USD409/t) this Monday, compared to about 500t at RMB2,900/t (USD402/t) late last month," a consumer in north China revealed, adding that their regular supplier lift the price by RMB50/t (USD7/t) this week supported by the increased magnesite prices and claims to raise the price further by the end of this month. However, facing the firm refusals to higher prices of magnesia carbon bricks from steel mills, the consumer would not accept any further price increase of fused magnesia. They believe that the mainstream prices of Chinese fused magnesia would level off in the coming two weeks.
With a consumption capacity of 50,000tpy, they expect to consume about 1,000t in April, in line with March. Now they have about 1,500t in stock, up by about 500t from late March.
"Our regular supplier quotes RMB3,300/t (USD458/t) EXW D/A 180 days for fused magnesia 97.3%min 0-30mm Ca/Si=1min and could sell at RMB3,200/t (USD444/t) to us, a regular client, while the supplier could sell at RMB3,100/t (USD436/t) in the past month," another consumer revealed, adding that they purchased about 500t at RMB3,200/t (USD444/t) yesterday, compared to another 500t at RMB3,100/t (USD436/t) in late March. As steel mills refuse higher prices of magnesia carbon bricks, the consumer would refuse any further price increase from the supplier and predicts that the mainstream prices of Chinese fused magnesia would flatten out by the end of this month.
Based on a consumption capacity of 30,000tpy, they predict to consume about 1,000t in April, unchanged MoM. Now they hold about 600t in stock, basically in line with early this month.
"We purchased about 1,000t of fused magnesia 97%min 0-30mm Ca/Si=1min at RMB2,950/t (USD409/t) this Monday, compared to about 500t at RMB2,900/t (USD402/t) late last month," a consumer in north China revealed, adding that their regular supplier lift the price by RMB50/t (USD7/t) this week supported by the increased magnesite prices and claims to raise the price further by the end of this month. However, facing the firm refusals to higher prices of magnesia carbon bricks from steel mills, the consumer would not accept any further price increase of fused magnesia. They believe that the mainstream prices of Chinese fused magnesia would level off in the coming two weeks.
With a consumption capacity of 50,000tpy, they expect to consume about 1,000t in April, in line with March. Now they have about 1,500t in stock, up by about 500t from late March.
"Our regular supplier quotes RMB3,300/t (USD458/t) EXW D/A 180 days for fused magnesia 97.3%min 0-30mm Ca/Si=1min and could sell at RMB3,200/t (USD444/t) to us, a regular client, while the supplier could sell at RMB3,100/t (USD436/t) in the past month," another consumer revealed, adding that they purchased about 500t at RMB3,200/t (USD444/t) yesterday, compared to another 500t at RMB3,100/t (USD436/t) in late March. As steel mills refuse higher prices of magnesia carbon bricks, the consumer would refuse any further price increase from the supplier and predicts that the mainstream prices of Chinese fused magnesia would flatten out by the end of this month.
Based on a consumption capacity of 30,000tpy, they predict to consume about 1,000t in April, unchanged MoM. Now they hold about 600t in stock, basically in line with early this month.
