BEIJING (Asian Metal) 4 Jun 20 – Currently, mainstream prices of Chinese vanadium nitride stand at RMB165,000-168,000/t (USD30.2-30.7/kg V) EXW D/A 180 days, up by RMB2,000/t (USD0.4/kg V) from this Tuesday. Due to the tight supply and the increasing prices of vanadium pentoxide flake 98%min, suppliers of vanadium nitride are in no hurry to accept new orders at the moment. Considering the cost keeps increasing, insiders believe that mainstream prices of vanadium nitride would increase accordingly in the coming week.

A producer in South China quotes their vanadium nitride at RMB165,000/t (USD30.2/kg V) EXW D/P and won’t accept any discount for firm bids. “The current price for vanadium pentoxide flake 98%min I received increases to RMB105,000/t (USD6.85/lb V2O5) EXW D/P now, up by RMB8,000/t (USD0.52/lb V2O5) from early last week. In order to guarantee our basic profit, we have to increase our quotation for vanadium nitride accordingly,” said the source. Their last deal was made this Wednesday, when they sold 30t at RMB165,000/t (USD30.2/kg V). They would deliver to their client at the end of this month. Considering the cost keeps increasing, he believes that mainstream prices of vanadium nitride would increase to RMB170,000/t (USD31.1/kg V) in the coming week.

With a production capacity of 2,400tpy, they produced about 1,440t in 2019 and about 460t so far this year. They produced about 120 in May and expect the same volume in June. They could not accept any orders for immediate shipment before early July.

“We sold 20t to our regular steel mill client at RMB165,200/t (USD30.2/kg V) delivered D/A 180 days this Tuesday,” a producer in Northwest China said. They quote RMB165,000/t (USD30.2/kg V) EXW D/P at the moment and won’t accept any orders below this price level now. The current prices for vanadium pentoxide flake 98%min he received stand at around RMB105,000/t (USD6.85/lb V2O5) EXW D/P. However, they bought 32t at only RMB99,000/t (USD6.46/lb V2O5) about 10 days ago. Considering prices of raw materials keep increasing, he believes that mainstream prices of vanadium nitride would stay firm in the coming week.

With a production capacity of 2,400tpy, they produced about 2,000t in 2019 and expect the same volume in 2020. They expect to produce about 120t in June due to lack of raw materials, unchanged from May. Their orders signed to 25 June, holding no stocks now.

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