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  • Writer's pictureJCT Abrasives

China Abrasive Materials Weekly Price (19th-25th August): WFA Price Starts To Stabilize

At present, the price of alumina oxide in the domestic market tends to be stable. The market price of white fused alumina remains stable this week, and there is no trend of large fluctuations. Affected by the willingness of downstream customers to purchase, the overall consumption is in the off-season. Zhengzhou, Henan Province held the National Minority Games on September 8-16. Since mid-August, factories in Dengfeng, Xiangyang, Xinmi, Gongyi areas have received notices of suspension of production continuously; from August 25th, factories in Shangjie area start to implement the shutdown notice. The power supply in Shandong Zhangping Industrial Park has returned to normal, and local smelting has started. Overall, the white fused alumina spot transaction is deserted. It is expected that in the coming week, the spot trade of white fused alumina will be tightened and the price will run steadily.

With the upcoming 11th National Minority Games, in order to ensure the air quality and security environment during the Games, environmental management and safety inspections in Zhengzhou and surrounding areas have become more frequent, and normal production of some industrial enterprises has been affected. It is expected that this state will be at least until mid-September. Affected by this, the industry market is overall weak.

In recent years, with the continuous development of China's environmental protection policy, which affects the production cost and operating rate of brown fused alumina, it has caused the market price of brown fused alumina to soar, even once rose to the same price of white fused alumina. This has led many abrasives companies to consider replacing other types of abrasive grain products with brown fused alumina. It is foreseeable that in the future, ceramic abrasives and white fused alumina abrasives will replace some of the market share that requires performance enhancement, and black fused alumina abrasives will replace some of the market share that requires price, the brown fused alumina will go through a very hard time.

3. Black Silicon Carbide

Affected by environmental protection, 10 black silicon carbide producers that had been discontinued earlier in Gansu Province have returned to normal. At present, five companies have resumed production, and five have been approved. It is expected to start operation next week. Market supply is about to return to normal, and black silicon carbide prices have not gained momentum. The first batch of resumption of production will begin shipping in late August or early September.

4. Green Silicon Carbide

This week, the price of green silicon carbide is still strong. The overall market demand is stable, the production enterprises are stable in shipment, and the inventory pressure is also small. It is expected that the price of China green silicon carbide will continue to be stable in the coming week. In addition, the market demand for some specifications of green silicon carbide micropowder is still strong, and the spot supply is slightly tight.

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