Magnesium Inventory Rises 3.40%, Market Sees Stalemate Amid Cost Support

[SMM Weekly Magnesium Production Flash Report] From June 5th to June 11th, the weekly production of the national sample magnesium plants was 25,865 tons, with a weekly operating rate of 84.85%, up 1.23% month-on-month. Most primary magnesium smelting manufacturers have been operating normally this week. It is understood that a primary magnesium smelting enterprise in the main production area has increased its daily production, resulting in a slight increase in primary magnesium output. In the long term, currently primary magnesium smelting manufacturers have insufficient willingness to halt production for maintenance. Only one primary magnesium smelting enterprise in Shaanxi Province is expected to halt production for maintenance in mid-to-late June, and one primary magnesium smelting enterprise in Shanxi Province has extended its maintenance time until the end of June, while other manufacturers are operating normally.

[SMM Magnesium Express]On June 12th, Hunan Magnesium Yu Technology became a joint production unit of the "2026 National Magnesium Industry Chain Distribution Map". The company is jointly established by Yueyang Urban Investment Group and Central South University, with a total investment of 1.227 billion yuan. After reaching production capacity, it can produce 10000 tons of magnesium alloy processing materials annually and plans to build the world's largest deep processing full industry chain production base for deformed magnesium alloys. The company relies on the technical team of Central South University to develop a complete set of new technologies for processing deformed magnesium alloys with independent intellectual property rights, and has obtained more than 50 national invention patents. In 2024, its participation in the "Key Technologies and Applications for the Preparation of High Performance Deformable Magnesium Alloys and Large Components" was evaluated by 8 academicians, and the overall technology reached the international leading level. With the gradual release of production capacity, the application scale of deformed magnesium alloys in high-end fields such as aerospace is expected to continue to expand.

[SMM Magnesium Express]According to reports, Shandong Huashengrong Magnesium Industry has entered the North American market with its independent soluble magnesium alloy technology. This material can naturally dissolve in underground fluids without the need for salvage and recovery, and can withstand high pressures of 110 megapascals, achieving precise segmented fracturing from 50 to 100 meters. The enterprise has mastered the world's earliest independent intellectual property soluble magnesium alloy technology and is the only domestic enterprise to achieve customized production of the entire chain from raw material smelting to downhole services. It has accumulated 50 patents and developed more than 100 types of magnesium alloy products. At present, the product has been applied in major domestic production areas such as Daqing Oilfield and Changqing Oilfield, and has been recognized in international markets such as North America and Canada, becoming another example of China's new materials going global.