Magnesium prices stabilized at highs today, supported by low inventory [SMM spot magnesium ingot report]

SMM reported on August 11 that today, the factory ex-works quotations for magnesium ingots in the Fugu region remained stable at 17,300-17,400 yuan/mt, with an average price of 17,350 yuan/mt, unchanged from the previous trading day; the FOB quotations stayed at $2,410/mt.

Currently, magnesium prices continue to stabilize at highs: the spot quotations for magnesium ingots from factories in the Fugu region remain firm at 17,400 yuan/mt; the mainstream FOB quotations at Tianjin Port range from $2,410 to $2,420/mt. In terms of supply, the weekly production of producers decreased by 5.9% MoM, the industry's operating rate remained around 54%, and inventory levels decreased by 10.6% MoM. Demand side, affected by the summer break, overseas downstream procurement inquiries remain sluggish. The main factors supporting current prices include: firstly, the continuous low operation of factory inventories and the good signing situation of futures orders; secondly, the shipment schedule in mid-August can still drive some rigid procurement demand. It is expected that magnesium prices will continue to maintain a high consolidation pattern this week.