Enquiries mounting in Chinese magnesium alloy market
2012-10-17 08:42:06 [Print]
BEIJING (Asian Metal) 17 Oct 12 – With the magnesium alloy export market seeing from-time-to-time foreign deals, domestic demand starts to bounce back gradually. Nevertheless, the mainstream concluded prices stay at RMB20,000-20,300/t (USD3,169-3,217/t) ex works against another price drop by RMB50/t (USD8/t) ex works in magnesium ingot nowadays.
A Shanxi magnesium alloy smelter with a monthly output of 500t shared that she feels no intention to lower the price of magnesium alloy in the wake of another price slide by RMB50/t (USD8/t) ex works in magnesium ingot. She explained that the domestic enquiries have started to climb reinforced by the current requirement overseas stronger than in Q2. “I’ve not marked down the price since magnesium ingot got cheaper after the holiday,” revealed the source, assuring Asian Metal that the magnesium alloy market is taking a promising turn.
According to the source, foreign purchasing activities have grown in number since two months before, which has finally boosted the domestic demand for magnesium alloy. “Mobile phone part makers ask for the price more often than before,” said she, bidding RMB20,100/t (USD3,185/t) ex works with a concession on RMB20,000/t (USD3,169/t) ex works. The smelter intends to hold the price for the present with a wait-and-see attitude towards the afternoon market of magnesium ingot.
Her local counterpart with an output of 5,000tpm echoed her statement that the domestic market has seen increasingly more enquiries since this Monday. With foreign orders packed heavy this month, he noted that the busier preparation of consumers overseas for Christmas with the consumption of backups have eventually spurred the domestic requirement from 3C industries.
“Now my foreign clients tend to make short-term orders now and again,” pointed he, who makes agreements at USD3,530-3,610/t FOB China with the other party, a quite reasonable price. As regards the domestic transaction price, he admitted keeping it stablised at RMB20,000-20,300/t (USD3,169-3,217/t) ex works with no determination to follow the lead of the price for magnesium ingot. “It’s easier to strike a deal with buyers at home than before, and they sound more interested in my alloy now,” concluded he.
A Shanxi magnesium alloy smelter with a monthly output of 500t shared that she feels no intention to lower the price of magnesium alloy in the wake of another price slide by RMB50/t (USD8/t) ex works in magnesium ingot. She explained that the domestic enquiries have started to climb reinforced by the current requirement overseas stronger than in Q2. “I’ve not marked down the price since magnesium ingot got cheaper after the holiday,” revealed the source, assuring Asian Metal that the magnesium alloy market is taking a promising turn.
According to the source, foreign purchasing activities have grown in number since two months before, which has finally boosted the domestic demand for magnesium alloy. “Mobile phone part makers ask for the price more often than before,” said she, bidding RMB20,100/t (USD3,185/t) ex works with a concession on RMB20,000/t (USD3,169/t) ex works. The smelter intends to hold the price for the present with a wait-and-see attitude towards the afternoon market of magnesium ingot.
Her local counterpart with an output of 5,000tpm echoed her statement that the domestic market has seen increasingly more enquiries since this Monday. With foreign orders packed heavy this month, he noted that the busier preparation of consumers overseas for Christmas with the consumption of backups have eventually spurred the domestic requirement from 3C industries.
“Now my foreign clients tend to make short-term orders now and again,” pointed he, who makes agreements at USD3,530-3,610/t FOB China with the other party, a quite reasonable price. As regards the domestic transaction price, he admitted keeping it stablised at RMB20,000-20,300/t (USD3,169-3,217/t) ex works with no determination to follow the lead of the price for magnesium ingot. “It’s easier to strike a deal with buyers at home than before, and they sound more interested in my alloy now,” concluded he.
Magnesium Alloy AM60B FOB China
Unit:USD/mt
China magnesium alloy producers' number MoM output increase statistics by month
Unit: pcs
