BEIJING (Asian Metal) 21 Feb 20 – Currently, mainstream prices for Chinese vanadium nitride stand at RMB15.6-15.9/t (USD28.8-29.4/kg V) EXW D/A 180 days, down by RMB2,000/t (USD0.4/kg V) from last week. As the physical distribution gradually returns to normal and the social inventory starts to come out, few suppliers can close deal at high price level. Insiders believe that prices of vanadium nitride would keep dropping in the coming week.
A producer in Northwest China quoted their vanadium nitride at RMB160,000/t (USD29.6/kg V) EXW D/A 180 days and they can accept RMB159,000/t (USD29.4/kg V) for firm bids, down by RMB4,000/t (USD0.7/kg V) from last week. “We participated in the bidding of a steel mill and we won the bid for 20t at USD155,900/t (USD28.8/kg V) Delivered D/P this week,” said the source. He added, “The government announced the cancellation of road traffic, which would help the movement of vanadium nitride.” He believes that prices of vanadium nitride would drop by USD4,000/t (USD0.7/kg V) in the coming week.
With an annual production capacity of 1,200t, they produced 80t in January and didn’t produce in February because of the plague. They have 30t of stocks now.
A trader in South China claimed the current price for vanadium nitride he received stands at USD155,000/t (USD28.7/kg V) Delivered D/P, down by 3,000/t (USD0.6/kg V) from last week. “According to what we know, there are enough market inventory in spot market at the moment. If the physical distribution can work well soon, prices would surely drop back to the price level in January,” said the source. He added, “Our last deal was made at the end of January, when they sold 50t at USD151,000/t (USD27.9/kg V) EXW D/P.” He believes that prices of vanadium nitride would drop to RMB150,000/t (USD27.7/kg V) EXW D/P in the coming week.
With a regualr trading volume of 80t, they sold 600t in 2019, down by 400t from 2018. They sold 80t in January and haven’t closed any deals in February, holding no stocks now, down by 50t in last month.
www.asianmetal.com
