China Nonferrous Metals News
Domestic magnesium smelters have been under pressure from low prices with domestic magnesium falling below RMB14,000/t in early December. Domestic smelters increased their quotations in mid-December by RMB200/t, from RMB13,700/t to RMB 13,900/t, in response to rising raw material prices (coal) and pressures of excessive supply.
On the demand side, downstream orders increased slightly during December, shoring smelters’ confidence at a time when prices are falling close to production costs. Domestic magnesium prices are likely to remain on an upward trend with increased transactions next week.