SHANGHAI, Dec. 22 (SMM) -- According to a recent SMM survey, prebaked anode prices continued to fall last week due to consecutive declines in raw material prices, and carbon plants faced loss.
Average traded prices for prebaked anode in East China have fallen to RMB 3,675/mt, down RMB 100/mt. Average ex-works prices (including tax) for prebaked anode in Southwest and Northwest China were RMB 3,750/mt and RMB 3,725/mt, respectively, down RMB 75/mt. Prebaked anode prices in Central China were stable, with average ex-works prices (including tax) at RMB 3,700/mt.
SMM sources report that lower raw material prices were responsible for falling prebaked anode prices. Ex-works prices at some carbon plants have been below the cost price line, and these plants are mainly using medium- and low-sulfur petroleum coke as raw material. Medium-sulfur petroleum coke prices were about RMB 500/mt higher than high-sulfur petroleum coke prices, while low-sulfur petroleum coke prices were about RMB 500/mt higher than medium-sulfur petroleum coke prices.
According to an official from one carbon plant in Shandong Province, in addition to falling petroleum coke prices, weak aluminum prices also negatively affected prebaked anode production and prices. Carbon plants will face loss if prebaked anode prices fall continuously.