BEIJING (Asian Metal) 9 Sep 19 – Currently, mainstream prices for Chinese vanadium pentoxide flake 98%min stand at RMB130,000-133,000/t (USD8.5-8.7/lb V2O5) EXW D/A 180 days, down by RMB1,000/t (USD0.1/lb V2O5) from last week. As bidding prices for vanadium nitride from major steel mills keep at low price level, producers of vanadium pentoxide flake are facing huge pressure to sell their products. Insiders believe prices of vanadium pentoxide flake would keep dropping in the coming week.

A consumer in Hunan claimed the lowest quotation for vanadium pentoxide flake 98%min he received keeps around at RMB130,000/t (USD8.5/lb V2O5) EXW D/A 180 days, down by RMB1,000/t (USD0.1/lb V2O5) from last week. “We can only sell vanadium nitride at RMB195,000/t (USD35.3/kg V) at the moment and the highest price for vanadium pentoxide flake we can accept keeps at no more than RMB125,000/t (USD8.1/lb V2O5) now,” said the source. Though no suppliers accept, he believes prices of vanadium pentoxide flake 98%min would drop to this price level in the coming week. Their last deal was made two weeks ago, when they bough 64t at RMB130,000/t.

With an annual consumption capacity of 3,000t, they consumed 220t in August and expect the same volume in September, holding 100t of stocks now.

A consumer in Jiangxi noted the current quotation for vanaidum pentoxide flake 98%min in spot market he received stands at RMB133,000/t (USD8.7/lb V2O5) EXW D/A 180 days and can by at RMB132,000/t (USD8.6/lb V2O5) for firm bids, down by RMB1,000/t (USD0.1/lb V2O5) from last this week. “Bidding prices of vanadium nitride for major steel mills keep around at RMB197,000-198,000/t (USD35.6-35.8/kg V) delivered D/A 180 days. I believe prices of vanadium pentoxide flake 98%min would drop to RMB120,000/t (USD7.8/lb V2O5) in the coming week or all downstream vanadium producers would have to stop production,” said the source. Their last deal was made two weeks ago, when they bought 30t vanadium pentoxide flake 98%min at RMB133,000/t (USD8.7/lb V2O5) in spot market.

With an annual consumption capacity of 2,400t, they expect to consume 180t in September, unchanged from August, holding 120t in hand at the moment.

www.asianmetal.com