Magrathea Completes $100M Financing, Boosts U.S. Magnesium Smelting with Green Tech

Since the start of June, the tug-of-war between sellers and buyers over magnesium prices has been intensifying. The EXW price of 99.90% magnesium ingot (Fugu, Shenmu) moved sideways around 16,300–16,400 yuan/mt, with the trading range narrowing significantly. The magnesium market was mired in a supply-demand stalemate, as end-users' acceptance of high magnesium prices declined markedly, while primary magnesium smelters held their bottom line supported by costs.

[SMM Magnesium Express]Recently, due to a combination of factors including rising fuel costs driven by geopolitical conflicts and reduced turnover efficiency caused by congestion in major European ports, shipping companies have tightened capacity and raised freight rates, leading to a significant surge in international shipping costs. According to SMM research, since late June, the freight cost for magnesium ingots shipped from Tianjin Port to Rotterdam, Netherlands, has reached approximately $130 per ton, up $20 from the beginning of the month, while the average freight cost for the India route has reached $110 per ton, up $10. SMM will continue to closely monitor freight trends and make timely adjustments.

[SMM Magnesium Express]On June 17, according to industry media reports, Xinyuan Manufacturing explicitly stated in its 2026 annual board report that it will accelerate the commissioning of large-tonnage die-casting and semi-solid injection molding production lines, focusing on core magnesium alloy components such as CCB brackets for new energy vehicles, rear shells for central control screens, and seat skeletons. It will also expand the application of magnesium alloy structural components in emerging fields like intelligent robots, computing cabinets, smart lawn mowing robots, and general-purpose power units. As application scenarios continue to broaden, the market potential for magnesium alloy lightweight components is expected to further expand.