China Abrasive Materials Weekly Price (1st -7th July): WFA Price Continues To Fall
Updated: Jul 15, 2019
This week, due to the fall in the spot price of aluminium oxide, the market price of white fused alumina in China continued to be slightly reduced by 50-100 yuan/ton. Although the major white fused alumina producers have a large number of signed orders, there are fewer inventories. However, the spot market transaction is slow, and the sales pressure faced by companies is rising. It is expected that the price of white fused alumina will be weak and stable in the coming week.
In addition, in addition to the Sanmenxia area in Henan, environmental pressures in Shangjie and Xiangyang areas are increasing. The smelting enterprise in Shangjie District has stopped production since the evening of June 14 and has not resumed production yet; some smelting enterprises in Xiangyang District have indicated that they have received verbal notice from the local environmental protection department to stop production in mid-August to mid-September, and at the beginning of the week, the environmental protection supervision began in the Xiangyang area, and the inspection team entered the factory one by one for investigation and review.
This week, based on strong production costs and low business operating rates, the market price of brown fused alumina has remained stable. Despite the current weak demand in the downstream market at home and abroad, the key factor in determining the price of brown fused alumina is the shortage of raw material bauxite. It is expected that the price of China's brown fused alumina market will continue to rise and fall in the coming week.
In addition, this week, the environmental inspection comes to the Yichuan area in Henan Province, local enterprises were once forced to stop production, need to pass inspection to resume production. In general, the environmental pressure on the brown fused alumina industry in Henan Province will increase in the second half of this year. The RCEP International Conference and the National Minority Games will continue to increase the uncertainty of the normal production of the company, affecting the price trend of brown fused alumina.
3. Black Silicon Carbide
This week, the price of China's black silicon carbide market remained stable. Since the end of June, the Central Environmental Protection Supervision Team has settled in Gansu. “Looking back” is currently underway in Gansu and is expected to last for about two weeks. According to the news, although most local enterprises are still in normal production, only a few individual companies are required to suspend production for a short period of time, and the market supply has not been greatly affected. However, facing the growing uncertainties, some industry players are beginning to worry about the market. The possibility that the supply will be affected.
4. Green Silicon Carbide
This week, the market price of China's green silicon carbide products has further weakened. In the past three months, China's green silicon carbide production has continued to grow, and there are still plans to increase production in the next month. With the gradual increase in the market supply of newly re-established manufacturers, the future price of green silicon carbide will be further loosened.