BEIJING (Asian Metal) 23 Aug 19 – Currently, mainstream prices for Chinese vanadium pentoxide powder 98%min reduce to RMB131,000-135,000/t (USD8.6-8.8/lb V2O5) EXW D/P, down by RMB3,000/t (USD0.2/lb V2O5) from last week. Though prices of downstream vanadium products keep dropping, considering the supply for vanadium pentoxide powder in spot market keeps tight, insiders believe prices of this material would stay stable in the coming week.
A producer in Shaanxi just sold 30t of vanadium pentoxide powder 98%min at RMB135,000/t (USD8.8/lb V2O5) EXW D/P this Thursday, down by RMB3,000/t (USD0.2/lb V2O5) from last week. “We have about 100t of orders waiting to be delivered and the supply keeps tight at the moment. I received an inquiry from one of our regular clients for 10t but the buyer only wants to buy at no more than RMB130,000/t (USD8.5/lb V2O5),” said the source. He added, “Surely I refused him directly. We are in no hurry to accept new orders at low price level now.” Considering prices of downstream vanadium nitride keep dropping, he believes prices of vanadium pentoxide powder 98%min would keep stable in the coming week.
With an annual production capacity of 3,000t for vanadium pentoxide powder, they produced 200t in July and expect to produce the same volume according to their orders, holding 50t of regular stocks now.
A consumer in Hubei quotes the lowest quotation for vanadium pentoxide powder 98%min he received keeps around at RMB133,000/t (USD8.7/lb V2O5) EXW D/P, down by RMB5,000/t (USD0.3/lb V2O5) from last week. “It’s hard to close deals for immediate shipment as suppliers are producing for long-term contracts now.Some producer who has inventory refuses to sell at lower price level. I can accept at most RMB130,000/t (USD8.5/lb V2O5) for 20t now,” said the source. He added, “We are waiting and I believe someone would accept my purchase demand in spot market in the coming days.” Their last deal was made two weeks ago, when they bought 20t at RMB150,000/t (USD9.8/lb V2O5). He believes prices of vanadium pentoxide powder 98%min would drop to RMB130,000/t (USD8.5/lb V2O5) in the coming week.
With an annual consumption capacity of 600t for vanadium pentoxide flake, they consumed 40t in July and expect to consume the same volume in August. They have about 15t in hand at the moment.
www.asianmetal.com
