Monthly Magnesium Ingot Price Step Down, Now Starting to Stabilize

In September, the price of magnesium ingots went down step by step. According to the data of business associations, the average market price of magnesium ingots (9990) as of September 27 was 15066.67 yuan/ton, down 3.62% from the average price of 15633.33 yuan/ton at the beginning of the month (09.01). At present, the price is at the annual trough.

Since late March, the price of magnesium ingots has been on the downward trend as a whole. On the one hand, based on the increase of domestic production, according to relevant data, 479.7 million tons of magnesium were produced by the Communist Party of China from January to July, an increase of 9.65% over the same period of last year. Among them, the cumulative production in Shaanxi is 288,000 tons, an increase of 14.96% year on year; the cumulative production in Shanxi is 713,000 tons, an increase of 32.55% year on year; and the cumulative production in Ningxia is 26,000 tons, a decrease of 45.31% year on year. On the other hand, because of the low price of aluminum ingot, the competitive substitution advantage of low-end ordinary products of magnesium alloys is small.

As a major producer of magnesium products, the current export situation is running well. According to statistics from the General Administration of Customs, China exported 268,500 tons of magnesium products in January-July, up 17.85% year-on-year, with a cumulative amount of $698 million, up 24.35% year-on-year. Among them, 147,700 tons of magnesium ingots were exported, an increase of 27.41%, 63,900 tons of magnesium alloys were exported, an increase of 0.41%, and 52,500 tons of magnesium powder were exported, an increase of 17.33%.

At present, near the National Day holiday, just need to purchase spare goods, the overall market is weak, the main production area magnesium enterprises ex-factory price in 14800-15000 yuan/ton, low-cost supply is less than the previous few days, currently mainly smooth operation.

With the coming of the festival mode, it is expected that the price of magnesium ingots will run smoothly in the near future. Later, we will pay attention to the actual market transactions and the maintenance of magnesium plants.