China Abrasive Materials Weekly Price (14-20 Dec): Abrasive materials are at LOW inventory level
This week, due to the continuous tightening of environmental protection control in Henan, Shandong Province and other places, the white fused alumina production enterprises are restricted in operation and the inventory is very low. Some companies cancel the previous preferential prices and intend to slightly increase the quotations of white fused alumina, but due to the raw material alumina price is fairly stable, and downstream customers tend to maintain the status quo. This week, China’s white fused alumina prices have temporarily maintained stable.
Since December, due to the impact of environmental protection control, most brown fused alumina factories in Henan Province have continued to stop production. It is expected that production will not resume until early January. Some companies have begun to refuse quotations due to the bottoming of inventories. More and more buyers are turning to Guizhou and Shanxi Province for similar products. Although buyers' inquiries have increased, enterprises in Guizhou and Shanxi are also more cautious in confirming orders. Suppressed by the price of white fused alumina, although the overall quotation of brown fused alumina has increased slightly, the company has not adjusted the price for long-term customers. It is expected that in the coming week, brown fused alumina may not experience substantial price increases, and small rise of price may occur in the short term.
This week, black silicon carbide manufacturers in Gansu and other places in China are in a low inventory level, and changes in raw material costs will likely affect the prices of finished products. As the prices of raw materials such as anthracite and petroleum coke have continued to rise recently, with the increase of around RMB 100-200/ton in the past 10 days, the price of black silicon carbide abrasives in China has risen accordingly. It is expected that in the coming week, black silicon carbide prices is very likely to rise due to low inventories.
This week, considering the current raw material cost support and the low operating rate, as well as some companies planning to stop production due to the cold weather, China's green silicon carbide manufacturers are strongly willing to raise the price. It is expected that green silicon carbide may continue to rise. In addition, due to the depreciation of the US dollar, the export price of green silicon carbide rose slightly.