Last week, as large magnetic material producers initiated their bidding activities, the Pr-Nd market saw increased activity, with overall prices trending upward. However, due to the limited increase in downstream demand, the price rise in the upstream market was relatively moderate, and the overall market sentiment remained cautious. Facing an uncertain market outlook, many magnetic material companies showed low purchase willingness. Many companies chose to delay purchases, relying on existing inventory to sustain production during the National Day holiday, waiting for the market to become clearer. Since some magnetic material producers' inventories could only sustain about a month's production, SMM predicted that a wave of purchasing might occur in mid-October.
Some magnetic material producers reported that amid the rise in upstream raw material prices, downstream customers were unwilling to accept high quotes. As a result, many magnetic material companies had to quote NdFeB blanks at prices below the market average, leading to a significant reduction in profits.
Compared to the domestic market, the recent performance of the foreign trade market was also quite sluggish. Some companies pointed out that the foreign trade market lacked momentum and experienced order transfers. The main reasons for this were adjustments in foreign industrial structures and increasingly fierce market competition.
According to some industry insiders, there was a slight increase in downstream market demand recently. SMM expected that Pr-Nd market prices might continue to fluctuate upward this week, but without significant increases.
