The magnesium ingot market continues to show strong supply and weak demand, with Chinese and overseas markets both weakening simultaneously [SMM spot magnesium ingot news flash]

Published: Aug 26, 2026 18:04

Save

[Magnesium Ingot Market Continues Strong Supply and Weak Demand, Chinese and Overseas Markets Both Weaken] The magnesium ingot market is in the doldrums, with offers at 15,750-15,850 yuan/mt and FOB $2,240-2,340/mt. Supply is ample but destocking is slow, downsteam buyers push for lower prices and wait, month-end restocking has not appeared, export orders face severe price cuts, and traders' profits are squeezed. Under the pattern of strong supply and weak demand, the market will continue to consolidate on a weak note in the short term.

SMM News Flash on August 26:

Today, mainstream quotations in the Fugu area for national standard 99.9 magnesium ingot were 15,750-15,850 yuan/mt, and for national standard 99.8 magnesium ingot were 15,750-15,850 yuan/mt; China FOB prices were reported at $2,240-$2,340/mt.

Today, the magnesium ingot market weakened in both domestic and overseas markets, with domestic mainstream quotations at 15,750-15,850 yuan/mt and some cargoes edging down slightly; FOB export offers were at $2,240-$2,340/mt. Overall market supply was ample, but high-quality low-priced spot cargoes were scarce. Previous maintenance did not effectively alleviate the industry's high inventory pressure, and destocking progressed slowly, with only a small amount of low-priced cargoes flowing out. Domestic downstream inquiries were mostly accompanied by pushing for lower prices, and the month-end concentrated restocking did not appear as expected, with few actual transactions and a heavy wait-and-see sentiment. Overseas clients prioritized consuming their own inventories and pushed for lower prices on new orders significantly, leaving traders' margins severely squeezed and their willingness to take orders low. The current market still faced a situation of supply exceeding demand, with no clear recovery drivers in Chinese and overseas markets, and it is likely to continue consolidating on a weak note in the short term. For today's analysis summary, I just posted several new news flashes; please add new ones, not replace.

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or for more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

9 hours ago

Costs Underpin Firm Magnesium Prices, Domestic and External Demand Cap Upside Room [SMM Spot Magnesium Ingot Report]

[Costs Provide a Floor and Keep Magnesium Prices Firm; Domestic and Overseas Demand Limits Upside Room] Today, domestic offers for magnesium ingot in Fugu were 15,900-16,000 yuan/mt, and FOB offers were $2,250-$2,350/mt. Rising coal and ferrosilicon prices raised costs and kept prices firm. However, demand in China and overseas was weak, and overseas market gains were merely transmitted from the domestic market, leaving magnesium ingot in a tug-of-war between cost support and demand pressure.

9 hours ago

Aug 28, 2026 18:01

Rising Coal Prices Boost Magnesium Ingot Costs, Prices Up to 15,800-15,900 Yuan/Ton

【SMM Magnesium Express】On August 27, the starting auction price of Hongliulin lump coal, a raw material for blue carbon, stood at 800 yuan/ton, up 20 yuan/ton from the previous period; the auction volume was 77,500 tons, down 13,500 tons from the previous period; the average transaction price was 896 yuan/ton, up 80.82 yuan/ton from the average price of the previous period. The lowest auction price today is 894 yuan/ton, and the highest price is 902 yuan/ton. As the core raw material for primary magnesium smelting, the rising price of coal directly pushes up the production cost of primary magnesium manufacturers, creating strong cost-side support. Affected by this, smelting manufacturers have a strong reluctance to sell, and the quotation of magnesium ingots has been raised to 15,800-15,900 yuan/ton, an increase of 50 yuan/ton from earlier.

Aug 28, 2026 18:01

Aug 28, 2026 17:59

[SMM Analysis] Weak Overseas Demand Slows Exports; Lithium Manganese Oxide's Growth Dividend Temporarily Fades

China’s lithium manganese oxide industry boasts an extremely high self‑sufficiency rate with sufficient production capacity. Domestic consumption dominates market demand, while exports serve only as a supplementary channel, resulting in very low import dependence. According to customs data, China’s imports of lithium manganese oxide stood at merely 89.79 tonnes in 2025, and no import was recorded from January to April 2026.

Aug 28, 2026 17:59