Asian Metal News
Shanxi Bada magnesium smelter has cut operations by 70% since 18th January 2021, reducing daily average output to 25 t. The company produced 1.8 kt of magnesium in January and February production is estimated at 700 t, down by 1.1 kt m-o-m.
According to an internal source, the company cut operations on 18th January 2020 amid high production costs and low magnesium prices.
Designed with 30 ktpy capacity, the company produced 27.5 kt of magnesium in 2020 with its 2021 annual output expected to be the same.
Mainstream magnesium ingot prices have been stable at RMB14,000~14,300/t ex-work by cash, remaining unchanged from last week. Market commentators forecast prices to remain stable with limited transactions next week.