BEIJING (Asian Metal) 16 Aug 19 – Currently, mainstream prices for Chinese vanadium nitride stand at RMB225,000-228,000/t (USD41.5-42.1/kg V) EXW D/A 180 days, down by RMB22,000/t (USD4.1/kg V) from last week. As the demand from steel mills keeps weak, most producers are facing high pressure to accept new orders. Insiders believe prices of vanadium nitride would keep dropping in the coming week. 

A producer in Hubei claimed their quotation for vanadium nitride dropped to RMB228,000/t (USD42.1/kg V) EXW D/A 180 days and can accept RMB225,000/t (USD41.5/kg V) for firm bids, down by RMB25,000/t (USD4.6/kg V) from last week. “One trader sent the inquiry to me that they want to buy 30t at no more than RMB210,000/t (USD38.7/kg V) this Tuesday and I refused him directly,” said the source. Their last deal was made early August, when they sold 60t at RMB245,000/t (USD45.2/kg V). Considering inquiries from steel mills are hard to see, he believes mainstream prices of vanadium nitride would drop to RMB210,000/t (USD38.7/kg V) in the coming week.

With an annual production capacity of 1,200t for vanadium nitride, they produced 60t in July and expect the same volume in August, holding 30t for inventory now.

A producer in Jiangsu quotes their vanadium nitride at RMB230,000/t (USD42.4/kg V) EXW D/A 180 days and can accept RMB225,000/t (USD41.5/kg V) for firm bids, down by RMB23,000/t (USD4.2/kg V) from last week. “We are in no hurry to sell now as major steel mill will start to make purchase at the end of this month.It’s hard to close deals with traders as few of them can accept our lowest quotation at the moment,” said the source. Their last deal was made early this week, when they sold 20t to one of their regular clients at RMB225,000/t (USD41.5/kg V). He believes prices of vanadium nitride would drop by RMB5,000/t (USD0.9/kg V) in the coming week. 

With an annual production capacity of 1,800t for vanadium nitride, they plan to produce 80t in August, unchanged from July. They have about 20t of stocks now. 

www.asianmetal.com