Asian Metal News
Fugu Taida Coal Chemicals suspended magnesium production for maintenance from 15th July to 31st July. The company produced 2.8 kt of magnesium in June with its July production expected at 1.4 kt.
Designed with 35 ktpy primary magnesium capacity, the company produced 32.5 kt of magnesium in 2021 and 16.8 kt in the year to date. It currently holds 1.3 kt of magnesium ingot in stock.
Increasing difficulties with magnesium smelting during the summer in conjunction with sluggish demand have resulted in capacity cuts and suspensions of some other smelters in Fugu Shaanxi. Fugu Yufeng magnesium smelter has suspended operations from early July to late August, contracting production of 400 t m-o-m; and Jinchuan Hongtai halted operations from 10th July to 31st July, curbing production by 900 t m-o-m.
Mainstream magnesium ingot prices currently stand at RMB 25,800~26,300/t, down by RMB 200/t from last Friday, prices are expected to keep stable next week.