Magnesium plant lowers prices to stimulate transactions, with magnesium prices declining today [SMM Spot Magnesium Ingot Report]

》Check SMM magnesium spot quotes, data, and market analysis

》Click to view SMM magnesium

On July 2, SMM reported that magnesium prices were in the doldrums today. The market quotes for magnesium ingots in the Fugu region ranged from 16,100 to 16,300 yuan/mt, with the mainstream transaction prices at 16,100 yuan/mt, down 50 yuan/mt from yesterday.

Today, the magnesium ingot market is generally in the doldrums. In the first half of the week, magnesium transactions were average, and inventory pressure at magnesium plants increased. Some magnesium plants in the main production areas offered discounts to stimulate transactions, causing the center of magnesium transactions to move downward. According to a foreign trade trader, the prices of foreign trade orders taken earlier were relatively low, and the current market transaction prices are still higher than the intended purchase prices, resulting in low purchase willingness. Additionally, to avoid price fluctuation risks, some customers have chosen to purchase magnesium ingot futures with lower prices and longer delivery times, leading to some foreign trade orders being locked in early. Currently, the demand side lacks support at these prices. However, considering the tight spot supply at most magnesium plants in the main production areas, the room for magnesium price reductions is limited, and it is expected that magnesium prices will remain in the doldrums.