China Magnesium Ingot Prices Held Steady

At present, the mainstream transaction price of magnesium ingot in China is firm at 14,000-14,300 yuan/ton ex-factory cash level, which is flat compared with late last week. Domestic consumer purchases as planned, spot market transactions active. Given the tight spot supply and transactions continue to be stable, the industry is expected to remain strong prices in the next few days.

"At present, our offer for magnesium ingots is stable at 14,000 yuan/ton ex-factory cash, not accepting counter-offer, which is basically unchanged from late last week, when a 62-ton order was completed at 14,000 yuan/ton at the beginning of this week," said a shaanxi magnesium ingots producer, adding that they sold about 100 tons of magnesium ingots on Friday. He said they were willing to pre-sell orders for delivery after January 3 for 14,000 yuan/ton. The source said he expected prices to remain stable in the coming days, given stable buyers and tight spot supplies.

The producer has an annual capacity of 30,000 tons of magnesium ingots and produced about 1,850 tons in December. Production is expected to be flat in January and currently out of stock. It will produce about 21,200 tonnes in 2018 and 20,900 tonnes in 2019.

"Magnesium ingot market clinch a deal the stable and physical tension, so our offer is still strong magnesium ingot in 14000 yuan/tons of cash, they leave a flat late last week, will not receive a counter-offer," said another magnesium ingot producer shaanxi, said late last week was the last time to clinch a deal they sell at a price of 14000 yuan/tons, 62 tons, also sell at a price of 13900 yuan/ton on Wednesday also about 62 tons of cargo. They still have about 60 tons in stock and are expected to sell at 14,000 yuan/ton. The source expects prices to remain stable in the coming days.

The producer, which has an annual capacity of 6,000 tonnes, produced about 500 tonnes in December and is expected to produce flat volumes in January, compared with current inventories of 60 tonnes. It will produce about 5,300 tonnes in 2018 and 5,100 tonnes in 2019.