Chinese Vanadium Pentoxide Flake Prices Keep Weak
BEIJING (Asian Metal) 31 Dec 19 – Currently, mainstream prices for Chinese vanadium pentoxide flake 98%min stand at RMB92,500-95,500/t (USD6.1-6.3/lb V2O5) EXW D/A 180 days, unchanged from last week. Consumers only make purchase according to urgent need and the market stays in a stalemate. Insiders believe that prices of vanadium pentoxide flake would stay weak in the coming week.
A producer in South China quotes their vanadium pentoxide flake 98%min at RMB94,000/t (USD6.2/lb V2O5) EXW D/P and can accept RMB93,500/t (USD6.2/lb V2O5) for firm bids, unchanged from last week. “We are in no hurry to accept new orders at the moment as most buyers refuse to buy at higher price level and we prefer to watch the market now,” said the source. He added, “I received an inquiry for 32t this Monday but the buyer only wanted to buy at no more than RMB92,500/t (USD6.1/lb V2O5).” Their last deal was made early last week, when they sold 32t to one of their regular clients at RMB93,500/t (USD6.2/lb V2O5). Considering prices of downstream vanadium products continue dropping, he believes that prices of vanadium pentoxide flake would stay weak in the coming week.
With an annual production capacity of 2,000t, they produced 150t in November and expect 120t in December, holding 60t of stocks now.
A consumer in North China noted the current price for vanadium pentoxide flake 98%min he received stands at RMB93,000/t (USD6.2/lb V2O5) EXW D/P, the same as last week. “We prepare to buy 20t in the coming week and our target price keeps at no more than RMB92,000/t (USD6.1/lb V2O5). Though no suppliers would like to accept now, I believe they will soon,” said the source. Their last deal was made two weeks ago, when they bought 20t at RMB94,000/t (USD6.2/lb V2O5). Considering the supply situation keeps loose, he believes that prices of vanadium pentoxide flake would be weak in the coming week.
With an annual consumption capacity of 600t, they consumed 550t in 2018 and have consumed 500t so far this year. They expect to consume 40t in December, the same as November, holding 15t of stocks now, down by 5t from last month.
www.asianmetal.com
