Huge Amount of RKAB Quota Might Increase the Supply? Nickel Ore Prices Likely to Fall. Profit Margins of Smelters Remain Negative

[SMM Molybdenum Daily Review: Downstream Demand Yet to Be Released, Molybdenum Market Fluctuates Rangebound] SMM reported on July 17: Today, the molybdenum market operated under overall pressure. The bidding selling price of molybdenum concentrate from a certain mine in Henan was announced yesterday, and the transaction price did not show significant volatility for the time being. The overall price of downstream ferromolybdenum steel tenders fluctuated rangebound within the range of 253,000-254,000 yuan/mt, while the ammonium molybdate and other molybdenum chemical sectors lacked demand support, with prices showing a slight decline.

[SMM Tungsten Daily Review: Tungsten Concentrate Prices Maintain Uptrend, Downstream Tungsten Products Follow Suit] On July 17, the tungsten market mainly held up well. The supply of ore in the market was relatively tight, and suppliers were bullish, holding onto their stocks and reluctant to sell. The center of spot order transactions continued to rise. Downstream ammonium paratungstate producers faced significant cost pressure and were unwilling to sell at low prices, with quotes mainly following the uptrend. Overall market transactions were average.

[SMM Tungsten Daily Review: Tungsten Market Holds Up Well, Ammonium Paratungstate Price Rises Rapidly to 260,000 yuan/mt] On July 16, the tungsten market maintained a strong upward trend. The supply of ore in the market was relatively tight, and suppliers held onto their stocks in anticipation of a price increase, leading to a continued rise in the center of spot order transactions. Downstream ammonium paratungstate producers faced significant cost pressure and were reluctant to sell at low prices, so they mainly followed the price increase in their quotations. Overall market transactions were moderate.

[SMM Molybdenum Daily Review: Active Ferromolybdenum Transactions Amid Increased Steel Tenders] SMM reported on July 16: Today, the molybdenum market operated under overall pressure. The bidding selling price of molybdenum concentrate from a certain mine in Henan was announced yesterday, and the transaction price did not show significant volatility for the time being. The overall tender price of ferromolybdenum in the downstream steel sector fluctuated rangebound within the range of 253,000-254,000 yuan/mt, while the molybdenum chemical sector, including ammonium molybdate, lacked demand support, resulting in a slight easing of prices.

July's tungsten market rose on tight ore supply, with prices up ~25% for concentrates and downstream products. New mining laws raised costs, curbing supply. Military and overseas demand (amid China's export controls) supported the market, though traditional sectors weakened. Short-term high consolidation; long-term ore scarcity may boost concentration, shifting to emerging/military fields.

[SMM Analysis: Upstream Ore Supply Leads the Gains, Tungsten Market Climbs Again] Entering July, the tungsten market was once again driven by the positive impact of ore supply tightness, with prices climbing upwards. The circulation of tungsten concentrate in the market was tight, making it difficult for downstream players to restock. The center of transaction prices for spot orders rose steadily. As of today, SMM 65% black tungsten concentrate closed at 178,500 yuan/mt, up about 25% from the beginning of the year.

[SMM Tungsten Daily Review: Ore Prices Continue to Rise, Tungsten Market Fluctuates at Highs in the Short Term] On July 14, the overall tungsten market held up well. The supply of ore in the market was relatively tight, and the center of transactions continued to show an upward trend. Downstream ammonium paratungstate enterprises mainly made just-in-time procurement. Driven by the rise in ore prices, the overall market presented an upward trend in the industry chain. The transactions in the powder segment were sluggish, and the transmission of market prices was slow.

[SMM Molybdenum Daily Review: Molybdenum Market Stable at Mine End, Downstream Molybdenum Products Follow Suit with Price Increases] SMM reported on July 14: Today, the molybdenum market remained mainly in a high-level consolidation phase. The prices of upstream molybdenum concentrate fluctuated at highs. Most mines delivered goods based on orders, with the price center of spot orders moving upwards. The volume of downstream molybdenum-iron steel tenders decreased slightly, driven by strong costs. Molybdenum-iron transactions maintained an upward trend.

Indonesian RKAB quota approved by 364 million tons. Downstream companies are still under pressure