2024.10.21-2024.10.25 Weekly summary of phosphoric acid and raw materials
2024.10.21-2024.10.25 Weekly summary of phosphoric acid and raw materials
Phosphate Rock:
The price of phosphorus ore is no change this week. Mining and transportation in Yunnan, Guizhou, and Hubei are normal，Some mining companies have certain inventories. In Sichuan area, the delivery of some mining companies has been affected due to the environmental inspections. In Northern area the mining companies resume production gradually, but some have not yet resumed production due to unfinished environmental inspections and rectifications. In the short term, market supply has improved only slightly.
For 28% grade raw ore: Reference price in Guizhou is 940-960 yuan per ton; reference price in Yunnan is 890-910 yuan per ton; reference price in Hubei is 1000-1020 yuan per ton.
For 30% grade raw ore: Reference price in Guizhou is 1030-1050 yuan per ton; reference price in Hubei is 1030-1050 yuan per ton; reference price in Yunnan is 940-960 yuan per ton.
Yellow phosphorus:
The transaction yellow phosphorus has slightly improved this week, price increase by CNY200 per ton from this Wednesday.
On the cost side: The price of phosphate rock, coal and other raw materials are stable, so the cost of yellow phosphorus increased slightly.
Supply and operating rate: because of the environmental inspections in Guizhou and Sichuan areas, some producers reduce or suspend production, so the market supply gradually decline.
On the demands side: The demand has improved with increasing inquiries and orders this week. This is mainly because many downstream customers have to replenish inventories.
Expected that the producers of yellow phosphorus will keep rise the price next week, but the amount of increasing might not be big.
热法磷酸：
本周热法磷酸35KG包装FOB 防城报价为USD1038.00-1090.00。
本周热法磷酸价格保持平稳。市场开工小幅下滑，供应减少。黄磷价格商谈气氛由弱转强，对热法磷酸成本面的影响暂不明朗。
成本方面：黄磷价格上涨，成本方面小幅增加；
需求方面：下游需求有所提升，部分企业对热法磷酸高价接受程度不高，多持观望态度。
供应方面：本周热法磷酸供应较上周较少，主因四川地区部分企业因环保检查停产或降负荷生产。
预计下周热法磷酸市场价格或将稳中探涨。从需求端来看，下游市场暂无利好消息指引，市场行情偏淡，对高价热法磷酸抵触情绪较强，市场高价推进困难。从成本端来看，预计下周黄磷市场价格上涨，热法磷酸成本面支撑偏强。
Thermal phosphoric acid:
The FOB Fangcheng price for 35KG thermal phosphoric acid is USD1038.00 to USD1090.00 this week, increased by USD60 per ton.
Thermal phosphoric acid prices keep stable this week. The operating rate declined slightly, which resulting in the decrease in market supply.
On the cost side: Price of yellow phosphorus increased by CNY200.00 per ton this week, so the cost of thermal phosphoric acid increase slightly.
On the demand side: The demands is improved this week, but most customers still wait and see for the high price.
On the supply side: the market supply declined much this week due to the environmental inspections in Sichuan area, some producers reduce or keep suspending production.
Expected that the price of thermal phosphoric acid will keep stable and possibly increase next week. From the cost side, it is expected that the yellow phosphorus market will rise next week, which is a stronger support for the cost of thermal phosphoric acid.
Wet purified phosphoric acid:
The price of wet-process purified phosphoric acid remained stable this week.
On the supply side: One of main producer in Fujian suspended production for maintenance; and one producer in Chongqing resume production this week, so the supply of some area declines slightly. At present the market supply of spot cargo is tight and there’re sufficient pending orders for the producers, which scheduled to the end of Oct even first half of Nov.
On the demand: Procurement is weak, and new orders transaction is less.
Expected that the price of wet-process purified phosphoric acid will continue to remain stable or stable with a slight increase next week.
Sodium carbonate:
The sodium carbonate price keep stable this week.
On the supply side: The operating rate of the sodium carbonate has slightly declined compared with last week. Some producers have reduced production by 30% from this week, and some producers have to suspend production for maintenance;
On the demand side: The demand is very weak.
On the cost side: the cost of the sodium carbonate has increased this week, but the weak demand has resulted in a low profit for many producers.
In the later stage, the price of sodium carbonate will continue to maintain the current price. Most companies in the industry have suffered losses and are taking production restrictions to maintain costs.
