SHANGHAI, Aug 19 (SMM) - According to SMM survey, due to enduring high temperatures and the peak season of power consumption, Hunan and Guizhou have introduced power rationing in certain areas. As a result, mines in Lengshuijiang, the production centre of antimony, were forced to suspend the operation for three days. In particular, it is reported that Dongfeng Antimony and other enterprises in Guizhou have gradually stopped the production due to power restriction and raw material shortage.
An antimony industry insider in Hunan suggested that the power curtailment had a limited impact on antimony production. In fact, he said, the power was available but expensive, and most enterprises chose to use self-generators to support power consumption. If the high temperatures end soon, then the subsequent impact will be very small. On the other hand, many manufacturers have halted the production not entirely due to power cuts. The poor sales, plus few cheap raw materials, have promoted them to suspend the production for maintenance. Some market participants said that the current domestic demand for antimony was poor, and there was no sign of growing overseas demand, thus the antimony prices are relatively stable currently. Only when the demand improves are antimony prices likely to rebound, though the increase might be limited.
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