[SMM Magnesium Weekly: Prices Under Pressure, Downward Trend; Downstream Watches and Waits for Consensus on Bottoming Out] This week, the magnesium market overall showed a pattern of weak supply and demand, with prices under pressure and moving downward. Raw material side, dolomite prices held steady, regional supply diverged but overall remained stable, and expectations for demand growth weakened. Market pessimism prevailed in the magnesium ingot sector, with offers in major production regions down 200 yuan/mt MoM. Although transaction volumes increased consecutively, downstream batch purchasing and magnesium plants competing to sell led to continued price weakness, with no signs of stabilization yet. On the export side, affected by the RMB exchange rate and policy expectations, FOB offers fluctuated and remained deadlocked, with traders reluctant to sell at low prices. Later, as the customs declaration deadline approaches, low-priced resources will decrease. Both magnesium powder and magnesium alloy prices followed magnesium ingot downward. Magnesium powder trading was active, but order sizes were smaller than in previous years. Magnesium alloy, however, benefited from demand support in areas such as new energy vehicles, with spot supply tight, and processing fees expected to remain firm. Overall, the market is still in the process of hitting bottom. Subsequently, attention should be paid to whether increased transaction volumes and enterprise consensus formation can drive magnesium prices to hit bottom and rebound.

[SMM Domestic Analysis: Magnesium Market in Autumn: Supply-Demand Mismatch Puts Magnesium Prices Under Pressure—Can the Market Overcome Multiple Challenges?] After nearly half a month of tug-of-war between sellers and buyers in the magnesium market, the future trend has been determined, with the supply-demand balance tilting once again toward downstream buyers. Recently, magnesium prices have shown a slow downward trend. As of the time of writing, the price of 99.90% magnesium ingot in the main production areas has fallen below the 17,000 yuan/mt mark, with mainstream quotations from magnesium producers ranging between 16,800–16,900 yuan/mt. However, considering that although inventory at producers' warehouses has increased, it remains at a multi-year low, has the downward channel for magnesium prices already opened?

Amid the global automotive industry's shift toward electrification and lightweighting, magnesium alloys are gaining prominence due to their lightweight potential, cost efficiency, and China’s abundant resources. Current magnesium use reaches nearly 20 kg in premium NEVs and 800 kg in commercial vehicle pilots, with a industry target of 45 kg per vehicle by 2030. This article analyzes magnesium’s applications, advantages, and challenges, highlighting its role in reducing emissions and advancing automotive lightweighting.

[SMM Magnesium Morning Session Minutes: Raw Materials Hold Steady, Magnesium Ingots Under Pressure, Divergent Demand Between Alloys and Powder] On September 11, the magnesium market overall exhibited the characteristics of stable raw materials and divergent finished products. Raw material side, dolomite prices remained stable with ample supply; ferrosilicon futures fluctuated rangebound, while spot cargo awaited guidance from steel tenders. The magnesium ingot market saw active trading but prices continued to decline, with mainstream transaction prices falling to 16,750-16,800 yuan/mt. Export orders shrank and downstream wait-and-see sentiment was strong, with prices expected to retain further downside room in the short term. For magnesium alloys, although prices weakened in tandem with magnesium ingots, supported by demand from sectors such as NEVs, spot supply was tight at some plants and processing fees remained firm. The magnesium powder market saw active trading with robust supply and demand, but offers were lowered due to declining magnesium ingot costs. Overall, the market showed a pattern of domestic demand stronger than exports and divergent demand for downstream products.

[SMM Magnesium Spot Report: Magnesium Prices Edged Down Today With Active Trading but Downward Pressure Remained] On September 10, the offer prices of magnesium ingots in Fugu region were 16,800-16,900 yuan/mt, down 50 yuan from the previous trading day; the FOB offer was $2,380/mt. The market trading atmosphere was active, with a trading volume exceeding 1,000 mt. Mainstream transaction prices settled in the range of 16,750-16,800 yuan/mt, with some prices probing further downward. Export orders have decreased noticeably recently, and downstream players mostly adopted a wait-and-see stance, showing limited acceptance of high offers. The market supply and demand were in a stalemate. The current FOB offer remains at a relatively high range of $2,380-2,410/mt, and magnesium ingot prices are expected to have further downside room within the week.

[SMM Magnesium Morning Meeting Summary: Weak Demand and Supplier Concessions in Stalemate, Short-Term Market to Remain in the Doldrums] Yesterday, mainstream quotations for magnesium ingot in Fugu region stood at 16,850-16,950 yuan/mt, down 50 yuan/mt from the previous working day. The China FOB price was quoted at $2,350-2,410/mt. In the short term, magnesium prices will face multiple pressures including supply surplus, continuous inventory accumulation, and delayed downstream demand, with the overall market expected to remain under pressure.

[SMM Survey: New Developments in Global Magnesium Mining: Exploration Breakthroughs, Technological Innovations, and ESG Challenges] Recent developments in the global magnesium mining sector have shown diverse trends. Western Mining Co., Ltd. in Australia achieved a significant exploration breakthrough at its Mulga Tank project in Western Australia, drilling a 530-meter high-magnesium oxide rock layer, confirming favorable geological conditions for high-quality magnesium ore. The project has now entered an advanced exploration phase. The EU's sole strategic magnesium metal project, Verde Magnesium, made a technological breakthrough by producing 99.9% high-purity, low-carbon magnesium metal using an innovative process. The project is expected to complete a pilot smelter by 2026. On the other hand, the construction of the Kupres magnesium plant in Bosnia and Herzegovina faces community challenges, with local residents expressing concerns over potential environmental impacts, questioning the technical feasibility and economic benefit distribution. Over 4,000 people have signed a petition against the project. These events highlight that while global magnesium resource development advances technologically, it must also prioritize community engagement and environmental sustainability.

[SMM Magnesium Morning Meeting Summary: Magnesium Market Stabilizes Weakly, Awaiting Demand Period Release] Yesterday, the magnesium market generally maintained a weak and stable pattern. Fugu magnesium ingot was quoted at 16,900-17,000 yuan/mt, with FOB prices at $2,350-2,420/mt. Transactions showed slight improvement but remained sluggish, as foreign trade orders cautiously awaited post-October shipping schedules. On the raw material side, dolomite prices held steady, while spot ferrosilicon remained in the doldrums due to weak steel tender guidance. Magnesium alloy prices stayed firm with low inventory support, and new energy demand provided some resilience. Magnesium powder transactions were stable but new orders were limited, currently in the overseas order delivery period, with the next round of procurement expected to be released in the next period. Overall, the market continues to wait for substantial demand recovery amid the tug-of-war between sellers and buyers.

[SMM Spot Magnesium Ingot Market Update: Slight Recovery in Transactions Amid Weak Price Trend] Today's Fugu magnesium ingot prices were quoted at 16,900-17,000 yuan/mt, with FOB offers at $2,385/mt, remaining stable but continuing in the doldrums. Market transactions showed slight improvement, as some foreign trade orders entered procurement to boost demand. Mainstream transaction prices stabilized at 16,900 yuan/mt, though the higher price range still lacked support. Overseas clients maintained a wait-and-see stance for post-October orders, with spot offers concentrated at $2,350-2,400/mt. The magnesium ingot market is expected to remain weak in the short term, with any substantial rebound contingent upon sustained demand recovery.