Producers Hold Prices Firm but Deals Cool; Overseas and Domestic Markets Diverge [SMM Magnesium Ingot Spot Express]

Published: Sep 7, 2026 18:48

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[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 Flash, September 7:

Today, mainstream quotations for national standard 99.90% magnesium ingot in Fugu stood at 16,150-16,250 yuan/mt, and for national standard 99.80% magnesium ingot at 16,100-16,200 yuan/mt. China FOB prices were quoted at $2,290-2,390/mt.

Today, domestic magnesium ingot producers quoted 16,200-16,300 yuan/mt, but transactions at higher prices met resistance, leaving the overall market in a stalemate. On the supply side, smelters showed strong willingness to sell, while downstream inquiries pulled back noticeably. End-user buying interest remained weak, with only small-volume just-in-time procurement. Actual deals were mostly concluded at 16,150-16,200 yuan/mt, below producer quotes, with insufficient follow-through buying. On the cost side, coal and ferrosilicon prices pulled back, weakening raw material support. Bearish sentiment in the market intensified, and domestic magnesium prices faced downward pressure in the near term. Foreign trade FOB quotes continued to rise, reported at $2,290-2,390/mt, with price increases transmitted outward from domestic ex-works levels. However, overseas clients showed weak willingness to take orders, industry-wide inventory remained high, and end-use demand had not improved materially. Trading sentiment was sluggish, high quotes lacked support from actual orders, and the price rise remained largely at the quotation level. Overall, the market is in a phase of tug-of-war between smelters holding prices firm and weak downstream demand both at home and abroad. In the near term, magnesium ingot prices are expected to continue moving sideways.

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