Chinese magnesium ingot market review and its outlook for 2016
In 2015, magnesium ingot price once fell to a new record low in recent years. As magnesium ingot supply continued to exceed its demand and producers lacked funds, magnesium ingot price kept dipping. The average transaction price of magnesium ingot in the first three quarters of 2015 slid to RMB13,028/t by cash ex works, down by 12.2% compared with the RMB14,848/t by cash ex works in the same period last year. After witnessing magnesium ingot prices lingering at low levels for a long time and continuous sluggish demand, will the magnesium ingot market see a substantial decline in output and a recovery in demand?
Chinese magnesium ingot export market review and its outlook for 2016
The export price of Chinese magnesium ingot continued to go downhill in 2015 amid weak foreign demand and aggressive offers. According to Asian Metal’s statistics, the average export price for Chinese magnesium ingot in the first three quarters of 2015 dipped by 13.8% from USD2,545/t FOB China in the corresponding period last year to USD2,193/t FOB China. In addition, Chinese magnesium ingot exports decreased in 2015. During the first three quarters, China’s magnesium ingot exports totaled 159,058t, recording a drop of 5.2% compared with the 167,906t in the same period last year. Will export quotations continue to drop in 2016? And will overseas demand for magnesium ingot keep shrinking?
Magnesium powder industry was tumbling in 2015 amid long-term weakness in demand and lingering low prices, which have caused producers to halt production successively. Will the magnesium power market take a turn for the better in 2016?
2015 was a tough year for the magnesium powder industry. The total exports of Chinese magnesium power over the first three quarters were only 55,907t, a remarkable drop of 15.6% compared with the 66,298t in the first nine months last year. It is worth mentioning that the exports of magnesium powder which is classified as dangerous goods has been seriously affected since a massive explosion hit a dangerous goods warehouse in Tianjin on August 12, 2015. This is one of the major reasons why exports of magnesium powder have decreased sharply. Besides, as steel mills at home and abroad reduce their output significantly, their demand for magnesium powder goes down accordingly. Magnesium powder producers are thus forced to cut output, causing a decline in market supply. Can magnesium power demand pick up in 2016? How will magnesium powder producers adjust the industrial structure?
Application and development trend of magnesium alloy in automobile industry in 2016
The exports of magnesium metal and other related products fell in 2015, with the exception of magnesium alloy, the exports of which rose to 84,089t in the first three quarters this year, up by 3.6% compared with the 81,139t seen in the same period last year. Specifically, the demand for die casting magnesium alloy from the automobile industry was relatively stable. Will there be any breakthroughs in the application of magnesium alloy in the automobile industry in 2016?
Qinghai Salt Lake Magnesium Metal Project’s influence on magnesium industry
Qinghai Salt Lake Magnesium Metal Project came as a big shock to the magnesium industry both in terms of its investment scale and industry impact. What impacts will the project’s operation have on Chinese magnesium smelting industry’s layout and structure adjustment? Is it an opportunity or a challenge? And how should magnesium market participants react to the changes?
Outlook for aluminum alloy industry’s demand for magnesium ingot in 2016
The output of aluminum alloy plunged sharply in 2015 and the price of the material also dropped continuously, causing a decline in magnesium ingot demand. How will the aluminum alloy industry develop in 2016? Will its demand for magnesium ingot see an improvement?
