China Abrasive Materials Weekly Price (8th -14th July): Terminal Demand Is Weak
This week, due to the decline in costs and the decline in market demand and the slow transaction, the price of China's white fused alumina was once again reduced by 50 yuan/ton. In addition, due to recent environmental protection investigations in Henan and Shandong, the environmental protection pressures in Shangjie and Fuyang have not been reduced. The white fused alumina smelting enterprises in Liaocheng District of Shandong Province also stopped production on July 10, and the estimated production stoppage time is about 10 days. It is expected that the price of China's white fused alumina market will be weak and stable in the coming week.
This week, the demand for the downstream market of China's brown fused alumina industry has not improved significantly. The market price of brown fused alumina is affected by factors such as “high production cost” and “low operating rate”. At present, some industry people said that the current profit margin of China's brown fused alumina enterprises is less than 5%. If the price continues to fall, it will force most brown fused alumina enterprises to only suspend production to cope with the current market situation. It is expected that the market price of brown fused alumina will continue to run weakly in the coming week.
3. Black Silicon Carbide
This week, China's black silicon carbide market supply still maintains the situation of oversupply, and the inventory of production enterprises continues to grow. At the same time, many enterprises that have stopped production in the Guanggou area of Gansu Province are expected to resume production in August. It is expected that the possibility of further decline in black silicon carbide market prices is increasing in the coming week.
4. Green Silicon Carbide
This week, the price of China's green silicon carbide market continued to run weakly. If there is no significant improvement in downstream demand, it is expected that the price of green silicon carbide will continue to weaken as China's green silicon carbide production continues to grow in the future.