SMM Weekly: Magnesium Inventory Rises 3.4% MoM Amid Production Halts and Weak Demand

[Smelters Hold Prices Firm but Deals Cool, Domestic and Overseas Markets Diverge] Today, magnesium ingot offers in Fugu varied by grade. Domestic smelters held prices firm, but high-price deals met resistance, with downstream buyers making only just-in-time procurement. Pullbacks in coal and ferrosilicon weakened cost support, and bearish sentiment in the market intensified. FOB offers in the overseas market rose in line with domestic ex-works prices. However, clients outside China remained cautious in taking orders, and high inventory levels left elevated offers lacking support from actual transactions. Overall, the market is caught in a tug-of-war between smelters holding prices firm and weak demand both domestically and overseas. In the short term, magnesium ingot prices are expected to move sideways.

【SMM Magnesium Flash】On September 7th, Yian Technology disclosed its investor relations activity records. In the first half of 2026, the company's magnesium product revenue reached 376.5 million yuan, marking a year-on-year increase of 64.41%. The magnesium-aluminum alloy business has become a new growth point for the company. Through technological transformation, the company's equipment capacity can achieve magnesium-aluminum conversion, and the overall operating rate is good. Meanwhile, the supplementary materials for the registration application of magnesium bone screws have been submitted, and approval is expected to be completed within 3 to 6 months. With the continuous increase in magnesium product volume and the implementation of medical magnesium alloy registration, the magnesium business is expected to become an important support for the company's performance recovery.

【SMM Magnesium Flash】Recently, the magnesium alloy one-piece die-casting rear floor sample jointly promoted by Deli Technology and Ideal Automobile was officially rolled off the production line. The project completed mold development, equipment debugging, and process verification in just three months, relying on the Bühler 9200T die-casting equipment to successfully achieve high-quality molding of large thin-walled magnesium alloy components. Magnesium alloy has a density of only two-thirds that of aluminum alloy and one-quarter that of steel, and the weight reduction effect can be translated into longer endurance and lower energy consumption. The roll-off of this sample marks the transition of large-scale magnesium alloy one-piece die-casting from the laboratory to the mass production workshop, which is expected to accelerate the lightweight process of new energy vehicles.