Magnesium market in week 9th 2024

The domestic magnesium ingot market is oversupplied, and the overall price center is moving downwards from a low level. Since the beginning of the year, the supply side of magnesium ingots has maintained a steady growth trend; The overall construction of terminal enterprises has been delayed and the market demand is limited after the new year. The imbalance between supply and demand is currently a dilemma faced by the industry, with market sentiment constantly being frustrated and business owners having a strong bearish sentiment.

From the current supply and demand side, each factory on the supply side is producing normally, with inventory levels continuously accumulating, and there are varying degrees of shipping and capital turnover pressures. Since the end of the holiday, domestic magnesium ingot prices have fallen by a total of 800 yuan/ton, and the rate of decline has been accelerating. On the demand side, many downstream customers have recently provided feedback that there is still stock in stock for the upcoming year, so there is no urgent need to place orders and we are mainly observing the market situation.

In summary, due to the worsening supply-demand imbalance in the magnesium ingot market, coupled with continuous losses in the coking end and severe unsold blue coke, some factories can only continuously lower the price of magnesium ingots to recover funds and facilitate shipment turnover. In the short term, if there is no significant improvement in the market supply and demand pattern, the magnesium ingot market may still face downward pressure.