In China, the spot export trade for magnesium on free on board (FOB) basis has continued to slow down amid weak overseas demand. According to the industry sources, the price of magnesium ingot fell this week to US$2,150-US$2,200 per metric tonne from US$2,180-US$2,230 per metric tonne registered last week. Chinese magnesium die-cast alloy price slumped from US$2,460-US$2,530 per metric tonne registered last week to US$2,430-US$2,500 per metric tonne this week.
Mainstream export prices for magnesium ingot has remained steady at US$2,200-US$2,250 per metric tonne FOB. However, there are indications that these prices would also reduce. According to an analyst, the domestic offers for magnesium ingot has been steady in the range of 13,000 yuan per metric tonne. But these prices might change too with some sellers lifting their offers by 50-100 yuan this week. A producer from northwest China confirmed that he has raised his offers to 13,100 yuan this week for the domestic exports. The domestic price for ferrosilicon is not easing up and the available stocks of magnesium ingot are falling further. Ferrosilicon is a feedstock used during the production of magnesium. Producers have revealed that they are keeping their domestic offers steady even though the offers in the market continue to decline.
The prices of domestic 75%-Si ferrosilicon has been unchanged since last week at 5,500-5,700 yuan per metric tonne. As the plants are yet to restart operations amid low prices, the supply of ferrosilicon in the domestic Chinese is tight. Analysts have mentioned that the companies in financial hardship are offering prices below US$2000 metric tonne FOB.