SMM January 16 News:
As the Chinese New Year approaches, the iron phosphate market remains active in terms of transactions. Facing robust market demand, top-tier iron phosphate enterprises, leveraging their production advantages, are actively adjusting pricing strategies to ensure stable shipments. This move aims to maintain customer relationships while responding to market changes.
On the other hand, due to the continued robust demand for iron phosphate, most iron phosphate enterprises, under the pressure of prolonged losses, exhibit a strong sentiment to stand firm on quotes. They strive to stabilize prices to secure profit margins and aim to gain a favorable position in market competition.
In the raw material market, phosphoric acid prices currently remain stable, with potential price concessions before the Chinese New Year, offering cost relief opportunities for iron phosphate producers. Meanwhile, industrial ammonium prices also remain stable, and ferrous sulphate prices have not seen further increases recently, helping iron phosphate enterprises control production costs.
Additionally, production arrangements during the Chinese New Year holiday have become a focal point of market attention. Some iron phosphate enterprises plan to utilize the holiday for equipment maintenance to ensure smooth production resumption after the holiday. However, some enterprises have stated that they will maintain normal production to meet ongoing market demand.
SMM believes that the iron phosphate market before the Chinese New Year will exhibit a robust supply and demand dynamic. The pricing strategies of top-tier enterprises will drive market price negotiations, while the relative stability of raw material prices provides a favorable production environment for iron phosphate enterprises. After the holiday, with the resumption of logistics, the market is expected to enter a new phase of competition.
SMM New Energy Research Team
Cong Wang 021-51666838
Rui Ma 021-51595780
Ying Xu 021-51666707
Disheng Feng 021-51666714
Yujun Liu 021-20707895
Yanlin Lü 021-20707875
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