China Nonferrous Metals News
25th October: Primary magnesium ingot (99.9%) was quoted at RMB 14,300/t (tax inclusive, on cash) in Fugu Shaanxi with mainstream transaction prices at RMB 14,300/t. In Shanxi, magnesium prices were RMB 14,500/t in Taiyuan, and between RMB14,600~14,700/t in Wenxi, the same level as last Friday. Market commentators are bearish about the market in the short-term. However, given domestic magnesium prices are presently approaching production costs, domestic smelters are keen to hold firm on prices.
Semi-coke producers in Fugu Shaanxi are facing severe losses and Shanxi producers are operating under negative margins. As a result, domestic magnesium prices are unlikely to drop much further. Looking forward, domestic magnesium prices are expected to be stable this week with increased transactions.