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  • Writer's pictureJCT Abrasives

China Abrasive Materials Weekly Price (22-28 AUG): Enterprises suffered great pressure

This week, the downstream market demand continues to be sluggish. In order to reduce inventory, most white fused alumina enterprises are in the shutdown or low start rate state, maintaining the regular customer orders only. At present, although the price of alumina in some areas of China is weak, overall, white corundum production costs are still high, and the current margin for white fused alumina is extremely low. It is expected that in the coming week, China's white fused alumina prices will continue the weak and stable operation.

This week, China's high-grade bauxite prices remain high because of tight supply, under the influence of this, brown fused alumina production costs continue to be high. Although product prices remain firm, there is very few profit margin. Most brown fused alumina enterprises in Henan Province have stopped production, and only a small number of enterprises are in production to guarantee the regular customer orders. In the meanwhile, in Guizhou Province, although the production cost is less that that in Henan, and number of in production enterprises is also slightly more than Henan, considering the transportation cost, its competition with Henan enterprises in the northern market has no cost price advantage. In general, there is widespread pessimism about the market.

It is expected that in the coming week, supported by the industry's low start-up rate and high production costs, brown fused alumina prices will be remain stable.

Supported by the high price of raw materials petroleum coke, black silicon carbide prices continue to run steadily this week. It is expected that in the coming week, the price of black silicon carbide may run steadily.

This week, given the stable price of green silicon carbide raw blocks, supported by the cost, China's green silicon carbide prices continue to run stable.

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