[SMM analysis] overseas alloy market demand has not yet recovered the price of electrolytic cobalt or will continue to decline.

Published: May 31, 2020 12:24

SMM, May 31:

At present, the price of electrolytic cobalt in the overseas market is 14.75 U.S. dollars / lb, which is basically stable compared with the previous week, but there is still no transaction in the spot market. Due to the lack of full resumption of work in the overseas downstream superalloy industry and the weak market demand for electrolytic cobalt, it is expected that overseas cobalt prices will still have downward space in the later stage.

Europe and the United States are the main consumer markets for electrolytic cobalt. The annual consumption of cobalt in China is less than 10, 000 tons, while that in overseas markets is about 15000 tons. Affected by the new crown epidemic, overseas aerospace and other places that need to use a large number of alloy products have hardly been consumed in recent months, and the market demand for electrolytic cobalt has been greatly reduced. Although the European government has made great efforts to promote the resumption of factories, according to feedback from SMM customers, the operating rate of factories in Europe is still on the low side.

Although recently, the price of electrolytic cobalt in China has continued to rise to 25-260000 yuan / ton (about 14.1 murals US $14.7 / lb) and gradually stabilized, but in fact there are few purchases in the spot market. The rebound in domestic prices is mainly due to the inflow of some funds into the market, while the major large consumers have enough raw materials in the metal cobalt price of 22-230000 yuan / ton (about 12.4 Mel 13.0 U.S. dollars / lb), and the existing inventory can still support the use of about 2 Mel for 3 months.

At present, the price gap of electrolytic cobalt at home and abroad has narrowed, the import and export window has not been opened, and the downstream demand of both markets is weak, and prices are lack of support. The downstream construction of metal cobalt in overseas market is slow, but the upstream supply has been restored one after another. Some suppliers revealed that there are almost no downstream enquiries in the spot market, and there are no orders for spot quotations to only about $14.2 / lb, and overseas electrolytic cobalt prices are expected to fall by about $0.50 / lb in the short term.

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or for more information, please contact: lemonzhao@smm.cn
For more information on how to access our research reports, please contact:service.en@smm.cn
Related News
Changes in H1 2026 Import and Export Data of Cemented Carbide Inserts
21 mins ago
Changes in H1 2026 Import and Export Data of Cemented Carbide Inserts
Read More
Changes in H1 2026 Import and Export Data of Cemented Carbide Inserts
Changes in H1 2026 Import and Export Data of Cemented Carbide Inserts
[Tungsten Express] SMM July 30: In H1 2026, the import value of cemented carbide inserts (2.351 billion yuan) was 1.43 times that of the export value (1.64 billion yuan). The export value of coated cemented carbide inserts was up 23.88% YoY, while the import value was up 31.94% YoY; exports of coated cemented carbide inserts stood at 670 mt, down 15% YoY, with the unit price up 46.09% YoY. The export value of non-coated cemented carbide inserts was up 36.03% YoY, and the import value was up 31.37% YoY; exports of non-coated cemented carbide inserts were 814 mt, down 15% YoY, with the unit price up 59.55% YoY.
21 mins ago
Zhiyuan Robotics Uses Magnesium Alloy for Lightweight, Strong Skeleton in New Humanoid Robot
1 hour ago
Zhiyuan Robotics Uses Magnesium Alloy for Lightweight, Strong Skeleton in New Humanoid Robot
Read More
Zhiyuan Robotics Uses Magnesium Alloy for Lightweight, Strong Skeleton in New Humanoid Robot
Zhiyuan Robotics Uses Magnesium Alloy for Lightweight, Strong Skeleton in New Humanoid Robot
[SMM Magnesium Express]Today, according to the Shanghai Securities News, Zhiyuan Robotics incorporated magnesium alloy as the load-bearing skeleton in its latest humanoid robot "Far征A3," paired with self-developed high-performance carbon fiber-nylon composite structural components, achieving both weight reduction and energy absorption effects. The robot demonstrated high-dynamic actions such as aerial flips and impact resistance, showcasing the application potential of magnesium alloy in enhancing structural strength and lightweighting for robots. As the industrialization of humanoid robots accelerates, the application prospects of magnesium alloy in robotic structural components are expected to further expand.
1 hour ago
Chengtun Mining: H1 Net Profit Up 71.37% YoY, Copper-Cobalt Segment in DRC Achieves Stable Output
1 hour ago
Chengtun Mining: H1 Net Profit Up 71.37% YoY, Copper-Cobalt Segment in DRC Achieves Stable Output
Read More
Chengtun Mining: H1 Net Profit Up 71.37% YoY, Copper-Cobalt Segment in DRC Achieves Stable Output
Chengtun Mining: H1 Net Profit Up 71.37% YoY, Copper-Cobalt Segment in DRC Achieves Stable Output
1 hour ago
[SMM analysis] overseas alloy market demand has not yet recovered the price of electrolytic cobalt or will continue to decline. - Shanghai Metals Market (SMM)