The oversupply in the antimony market continued throughout 2014. Domestic enthusiasm for antimony production is not strong and relatively low operating rates persist, given the weak demand from downstream industries and perpetuating price declines.
From an international market standpoint, the United States, Europe, Japan and South Korea are the places where Chinese antimony products are mainly sold. Affected by the global economic slowdown, demand in these countries remained sluggish all year.
Continuing weak downstream demand, coupled with serious overcapacity and rampant black market activity, ensured the Chinese antimony industry was sluggish throughout 2014. With prices for antimony related products constantly falling, and a lot of smaller smelters suspending production or closing down.
With domestic antimony resources dwindling, China is heavily reliant on overseas imports of antimony concentrates. Many producers are going abroad and directly investing in foreign mines with opportunities and risk coexisting. Owing to a number of factors, like language, transportation, fundamental infrastructure, overseas purchasing and investment of antimony ores are not straightforward.
Although overall antimony production capacity in 2014 witnessed a modest decline, the oversupply situation has not been remedied, and the downward pressure on prices still very great. Management of these enterprises is faced with a predicament: the market outlook is none too optimistic. What are new opportunities that await the antimony industry in the wake of the burgeoning new materials sector? Can the antimony industrial chain be further developed?
Asian Metal will host the third World Antimony Forum in Changsha, Hunan Province, China on May 20th-21st, 2015. We are inviting market participants from around the world to join us in discussing the hot topics within the antimony industry, in pursuit of new market development directions.
