China's Magnesium Alloy Output Rose in January as Producers Switched Back to Magnesium Alloy Production

SHANGHAI, Feb 9 (SMM) - China's magnesium alloy output stood at 27,000 mt in January, up 8.7% MoM and 23.5% YoY, according to SMM statistics. The YTD output through January 2023 stood at 27,000 mt, a YoY increase of 23.5%.

According to some domestic magnesium alloy factories, due to the losses of magnesium ingot in January, some magnesium alloy factories switched to produce magnesium alloys from magnesium ingots, which drove the growth of magnesium alloy production.

Based on the current orders, the recovery of magnesium alloy downstream industries has been barely satisfactory, which is still weaker than the same period last year.

As the recent upward trend of magnesium prices has been hindered, the magnesium plants in Shanxi are facing great cost pressure and weaker-than-expected orders. As such, the output of magnesium alloy will remain stable at about 27,500 mt in February.