Magnesium hydroxide market season is coming
As the peak season of magnesium hydroxide market demand is approaching, under the stimulation of recent price increases in foreign markets, China's magnesium oxide enterprises have announced price increases.
Since the fourth quarter of 2018, the domestic magnesium oxide market has entered the off-season of demand, and the price is relatively low. At the same time, due to the impact of winter production restrictions, the operating rate of magnesium oxide enterprises has declined, and the industry has shown a trend of destocking. As a result, manufacturers' inventories are generally low and orders are full, and large enterprises are the first to announce price increases for domestic customers.
WithMagnesium hydroxideThe peak season of market demand is approaching. Recently, under the stimulation of price increases in foreign markets, China's magnesium oxide enterprises have announced price increases.
Since the fourth quarter of 2018, the domestic magnesium oxide market has entered the off-season of demand, and the price is relatively low. At the same time, due to the impact of winter production restrictions, the operating rate of magnesium oxide enterprises has declined, and the industry has shown a trend of destocking. As a result, manufacturers' inventories are generally low and orders are full, and large enterprises are the first to announce price increases for domestic customers.
According to statistics, the national magnesium oxide producers have sent letters to increase prices, this high-density concentration price increase is mainly due to the overall cost of most conventional manufacturers is getting higher and higher. Sometimes the price increase does not need to consider the theoretical conditions of the regular, and there is also a strong precedent for the actual situation of the supply side. However, through this round of centralized price increase, some downstream demand has been reactivated, and most cargo holders have improved their delivery, which reflects that the distributors and end users mostly purchase on demand in the downstream channel of magnesium oxide, with less actual stock. With the continuation of this phenomenon, the coordination degree of the demand market will be improved, magnesium oxide is not far from the next round of rationalization of price increases, and the industrial chain to drive upstream and downstream industries is also looking forward to rising sentiment is strong, restart the industrial chain linkage effect.
For the current round of magnesium oxide price increases, can be explained from three aspects: First, the price of magnesium oxide bottomed out in the short term. Two is the magnesium oxide demand season is coming. Affected by environmental protection production restrictions and sluggish demand, the operating rate of enterprises has declined, the industry is in a state of de-stocking, the current enterprise inventory has been at a historical low, some large factories closed before the holiday, after the holiday orders are sufficient, laying the foundation for price increases. Third, overseas markets are picking up, and international giants are raising prices to boost market confidence.
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Hefei Zhongke Flame Retardant New Material Co., Ltd
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Ministry of Foreign Trade Telephone:13956052398
Comprehensive department Telephone:0551-67712199
Company headquarters address: Hefei Feidong Economic Development Zone Xianghe Road 36
E-mail:hefei@zkxcl.com
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