www.ferroalloynet.com: This week, the domestic vanadium market continued to decline, and the bidding price of VN alloy dropped significantly. Manufacturers and traders were active in selling, while spot prices in bulk market continued to decline, but few transactions were made. The FeV market is also slack, with more offers and less inquiries. Although the FeV quotation of traders has been lowered, it is still very difficult to close a deal. The alloy market becomes weak, and the raw material price falls simultaneously. The price of bulk V2O5 flake falls to 105,000-106,000 Yuan/ton in cash, which is basically the same as the price of large factories. The quotation of ammonium metavanadate is 100,000-101,000 Yuan/ton, but it is still hard to deal with.
Summary of Vanadium Bidding in June 2020
|
Company |
Products |
Price ( CNY/T) |
Quantity ( Ton) |
Remarks |
Date |
|
A Steel Plant in Fujian |
VN16 |
163000 |
50 |
Cash With Tax |
June 2nd |
|
Hebei Xinxing Ductile Iron Pipe |
VN16 |
172000 |
20 |
Acceptance with Tax |
June 4th |
|
JISCO Yuzhong Steel |
VN16 |
177500 |
30 |
Acceptance with Tax |
June 8th |
|
Benxi Steel |
VN16 |
172000 |
30 |
Acceptance with Tax |
June 8th |
|
A Steel Plant in Shandong |
VN16 |
168700 |
90 |
Acceptance with Tax |
June 11th |
|
Nanjing Steel |
FeV50 |
109950 |
20 |
Acceptance with Tax including Bidding Service Fee |
June 12th |
|
Shaoguan Steel |
VN16 |
168700 |
30 |
Acceptance with Tax |
June 12th |
|
Nanjing Steel |
VN16 |
166800 |
30 |
Acceptance with Tax including Bidding Service Fee |
June 16th |
|
Nanjing Steel |
FeV50 |
107900 |
30 |
Acceptance with Tax including Bidding Service Fee |
June 16th |
|
Benxi Steel |
VN16 |
167000 |
30 |
Acceptance with Tax |
June 16th |
|
ZENITH |
VN16 |
161500 |
90 |
Acceptance with Tax |
June 18th |
|
ZENITH |
VN16 |
162000 |
30 |
Acceptance with Tax |
June 18th |
2. China vanadium market overview
Ammonium metavanadate market
Affected by the price decline of downstream vanadium alloy, the price of upstream raw materials followed the decline. This week, the price of ammonium metavanadate dropped from 103,000-106,000 Yuan/ton to 100,000-102,000 Yuan/ton in cash with tax, a drop of about 3000 Yuan/ton. The market turnover was relatively low. Some buyers saw the market decline and postponed purchase plan. As of Friday, the intended purchase price of ammonium metavanadate from alloy plant was lowered to 98,000-99,000 Yuan/ton.
Vanadium pentoxide market
This week, large V2O5 flake plants successively delivered products, with long-term agreement price of 107,000 Yuan/ton by acceptance with tax (105,500 Yuan/ton in cash with tax). The downstream alloy market tends to be weak, the alloy factory will not purchase high priced raw materials, and the quotation of V2O5 flake in bulk market gradually reduced from 106,000-107,000 Yuan/ton at the beginning of the week to 105,000-106,000 Yuan/ton in cash with tax, which is basically the same as the price of large factories at present. This week, the price of chemical V2O5 powder fell slightly, and the domestic market demand was weak, barely maintaining the supply of old customers.
Ferrovanadium market
This week, the market of FeV was in a stable stalemate. The manufacturer stopped production and had a small amount of inventory. The number of traders’ shipments increased. The quotation was slightly reduced to 106,000-108,000 Yuan/ton in cash with tax. Due to the lack of inquiry in the market, there is no inquiry for ferrovanadium, and the transaction is in a state of downturn.
Vanadium-nitrogen alloy market
This week, VN alloy fell by about 6000 Yuan/ton. The supply in the spot market exceeded the demand. The steel plant pressed the price to purchase. The bidding price dropped significantly. Some manufacturers and traders delivered goods actively. The quotation was reduced from 165,000 Yuan/ton in cash including tax to 160,000 Yuan/ton. Although the bulk market transaction is sluggish and the market tends to be weak, the mentality of some manufacturers is still relatively strong, and they mentioned that the price of raw materials is stable, and will not sell below the cost price of VN alloy.
HRB market
The domestic steel market has entered a seasonal stage, and the price of rebar has started to decline. Due to the impact of flood in South China, traffic and logistics in many places have been paralyzed, construction site projects have been postponed, and material supply has been blocked. The terminal demand for steel product has been weakened due to the weather, and the inventory removal has slowed down. The transaction volume has declined, and terminal demand has been weakened in the short term. This week, the price of Grade III rebar(12mm) continued to fall from 3990 Yuan/ton to 3960 Yuan/ton, with a weak market atmosphere.
3.Vanadium worldwide market review
On June 17, the price of ferrovanadium in the European market fell to 24.05-24.9 USD/KgV, convert into 50# ferrovanadium RMB price was 85,200-88,200 Yuan/ton. The price of European V2O5 remained at 5.35-6.25 USD/LB V2O5, convert into V2O5 98% RMB price was 81,900-95,700 Yuan/ton; the price of ferrovanadium in United States was 9.8-10.0 USD/LB V, convert into 50# ferrovanadium RMB price was 76,500-78,100 Yuan/ton.
4.Forecast on nextweek
Next week, the vanadium alloy bidding will be carried out from steel plants. Facing the double pressure of stable and high raw material price and active selling from traders, the alloy plants will how to deal with market changes. It is expected that the vanadium price will be slightly decline again next week, but the fluctuation range will not be large.
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