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The Price Difference of Refractory Raw Material: Medium Grade Magnesia

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The Price Difference of Refractory Raw Material: Medium Grade Magnesia

Date:2017-07-18 author: click:

In April, the refractory raw material market remained uneven, with prices rising and falling unevenly. Environmental protection supervision in Liaoning has entered a white-hot stage, with serious shutdown of production, shortage of magnesia supply and confused quotation; silicon carbide is affected by the price of raw materials, and the price rises; alumina prices continue to decline due to sluggish downstream demand.

1. Bauxite prices are rising steadily

In April, the mainstream price of bauxite in 80% rotary kilns in Xiaoyi area of Shanxi Province was 850 yuan/ton~1000 yuan/ton, the price of bauxite in 85% rotary kilns was 1300 yuan/ton~1400 yuan/ton, and the price of bauxite in 88% rotary kilns was 1450 yuan/ton~1550 yuan/ton. The price was stable (no tax price included). Recently, it has been reported that the environmental protection inspection team has been stationed in Shanxi, and the start-up rate of production enterprises in Xiaoyi area has decreased again. With the gradual increase of environmental protection supervision, the local bauxite stock is slightly tense, among which the bauxite in the inverted flame kiln is the most obvious.

The mainstream price of 70% bauxite block material for vertical kiln in Henan is 470 yuan/ton~550 yuan/ton, 75% bauxite block material price is 590 yuan/ton~670 yuan/ton, 80% bauxite block material price is 900 yuan/ton~1050 yuan/ton, 85% bauxite block material price is 1250 yuan/ton~1350 yuan/ton, and the price is stable (no tax price). The bauxite production enterprises in Henan Province have low start-up rate, shortage of raw materials, environmental protection and other factors, which make the local bauxite market supply more tense. In addition, the recent increase in local logistics transportation costs and insufficient transportation vehicle resources have made the transportation costs of enterprises rise significantly. Influenced by many factors, the price of bauxite in Henan is rising rapidly.

2. The price of fused magnesia has risen sharply

In April, the price of 96% fused magnesia was 1700 yuan/ton~2000 yuan/ton, 96.5% fused magnesia was 2200 yuan/ton~2550 yuan/ton, 97% fused magnesia was 2600 yuan/ton~2900 yuan/ton, and 97% fused magnesia was 2700 yuan/ton~2950 yuan/ton.

According to the survey, the production of fused magnesia in magnesia enterprises in Liaoning has been scheduled for two months. Even some suppliers said, "The environmental protection team has arrived in Liaoning, and the time for magnesium mining is far away. Don't ask for quotation, because the quotation is not for you." Purchasers are ready to stay in Liaoning for a long time in order to supply raw materials continuously. They have opened the mode of "buy, buy and buy". However, the actual inventory of magnesia is deteriorating. Even the magnesia enterprises that can produce magnesia can only stop production and maintenance because of lack of raw materials. The price of fused magnesia is also starting to increase. It is common for suppliers to ask for prices one day at a time.

Medium grade magnesia

3. The price of heavy-burnt magnesia is 1000 yuan/ton~1200 yuan/ton, the price of medium-grade magnesia is 1500 yuan/ton~1650 yuan/ton, the price of 96% high-purity magnesia is 1700 yuan/ton~1900 yuan/ton, and the price of 97% high-purity magnesia is 2300 yuan/ton~2450 yuan/ton. Compared with the beginning of March, the price of medium grade magnesia increased by only 100 yuan/ton; compared with the end of last month, the price has not changed. On April 15, the environmental protection inspection team was stationed in Liaoning, and all local sintering magnesia enterprises stopped production. Nevertheless, once the magnesia kiln meets the production standard for commissioning, the magnesia manufacturer can fill in the examination and approval form at any time, and submit it to the municipal government for examination and approval after the preliminary examination and approval by the Municipal Environmental Protection Bureau and the local government.

It is predicted that the price of sintered magnesia will not rise sharply in the later stage and will tend to be stable.

IV. Silicon Carbide Supply Shortage and Price Rise

In April, the quotation of SiC market in Ningxia increased. At present, the mainstream quotation of 98% black silicon carbide block is 5700 yuan/ton to 5800 yuan/ton, 97% black silicon carbide block is 5600 yuan/ton to 5700 yuan/ton, and 90% black silicon carbide block is 4000 yuan/ton to 4100 yuan/ton, up 200 yuan/ton to 300 yuan/ton from March. SiC (> 70%) and SiC deoxidizer with particle size of 0-10mm are exported at a tax price of 2800 yuan/ton to 3100 yuan/ton, up 300 yuan/ton to 400 yuan/ton from March.

The main reason for the price increase of SiC is that the price of raw anthracite has risen sharply. It is understood that the price of anthracite for the smelting of silicon carbide was about 560 yuan/ton in May last year, and now it is about 1310 yuan/ton. Another important reason is that environmental protection is more stringent, petroleum coke as raw material to produce silicon carbide enterprises, because high sulfur emissions are not allowed to produce. At present, the start-up rate of silicon carbide enterprises is relatively low. Some enterprises have stockpiles before consumption, and a small number of enterprises turn to other products such as graphitizing carburant. With the beginning of the second quarter, the downstream market demand has increased, and the overall inventory of silicon carbide is slightly tight.