Domestic Vanadium Market Is Expected To Remain Strong This Week Last week, the price of upstream and downstream vanadium products increased slightly in China, and the market was strong. Under the condition that the price of upstream raw materials did not change much, the downstream ferrovanadium and vanadium-nitrogen alloy gradually increased, so as to get rid of the cost upside down and strive for profit space. In the first week after the Labor Holiday, the bidding price of steel plants performed well, and the inquiry was active. The price increase stimulated the entry of traders to purchase. The market remained active near mid May.

1. Raw materials
At present, the V2O5 flake market is dominated by large factories’ transactions, and the supply source in bulk market is to stock up but not to sell. The small factories’ orders are densely arranged. Some bulk transactions are at the same price as the large factories. The price quoted by the traders is 94,700-95,000 Yuan/ton. While the acceptance willingness of the VN alloy manufacturers is not high for the time being. This price has no advantage over the large factories’ quotation. Therefore, it is difficult for the bulk price to exceed the price of large factories before the large factories sign the orders. The market output of ammonium metavanadate has not fully recovered. The market quotation is 94,000-95,000 Yuan/ton in cash with tax, but the transaction price is mainly 94,000 Yuan/ton. The transaction price of metallurgical grade ammonium metavanadate 98% and ammonium polyvanadate of  is mainly 90,000-91,000 Yuan/ton in cash with tax. The downstream inquiry is good, but the price of metallurgical grade ammonium metavanadate is difficult to rise due to the price of V2O5 flakes.
2. Ferrovanadium
According to the current market price of V2O5 flakes, the cost line of ferrovanadium is between 98,000-99,000 Yuan/ton, and the manufacturers offer 100,000-102,000 Yuan/ton in cash with tax. The transaction price is mainly at 100,000 Yuan/ton in cash with tax and 101,000 Yuan/ton by acceptance with tax. The manufacturers have a slight profit, and the price of ferrovanadium in bulk market is basically no less than 100,000 Yuan/ton. Under the condition that the demand of the steel plant is boosted, the manufacturer’s mentality continues to be optimistic.
3. VN alloy
The most obvious price increase in vanadium products last week is VN alloy. Firstly, VN alloy is the product with the longest time in cost hanging upside down and the biggest loss of manufacturers. Once the market has a good support, manufacturers will resolutely hold up the price. At present, the market transaction price of VN alloy is mainly at 145,000 Yuan/ton in cash with tax, and the market inquiry price is mostly at 144,000 Yuan/ton, and the manufacturers quotation is mainly at 145,000-149,000 Yuan/ton in cash with tax, Although the steel plant procurement will be reduced in the middle of this month, the stronger market will attract traders to enter the market for operation, so the market will not be much weak, and it is more likely to be strong in the later market.
Since May, the production of downstream steel plants has continued to recover. At present, it has basically recovered to the level of the same period last year. Although the inventory is still slightly high, it is also in the stage of rapid consumption. In April, some VN alloy manufacturers stopped production and resumed production when the market is favorable in May. In May, the market will show a strong situation of both supply and demand. At present, the VN alloy has got rid of cost hanging upside down, and the supplier will strengthen the market for profit, but the steel plants also know the cost price of the manufacturer, so the steel plants will suppress the price increase after the VN plants have profit space. Therefore, it is expected that there will be a small increase space for vanadium alloy this month, but it is difficult to increase substantially, and the raw materials are expected to fluctuate little.