Vanadium Weekly Review During 31 Jul-4 Aug, 2023

www.ferroalloynet.com: Vanadium market is rising steadily this week with an increase of 1000-3000 CNY/T. At the beginning of the week, the large vanadium pentoxide flake plant in Southwest China started to sign orders in August which was 106,500 CNY/T by acceptance including tax, an increase of 3,000 CNY/T from the previous month. Besides, the bidding of steel mills was launched at the beginning of the month and the terminal demand became stronger, the atmosphere of the alloy market turned from weak to stronger. Supported by the costs, the quotations of alloy factories rose, and the steel bidding prices led the rise. And it is forecasted that the overall market may last this strong next week.

1. Summary of Vanadium Biddiding in August 2023

2. China vanadium market overview

Ammonium metavanadate market

This week, ammonium metavanadate market rebounded from a low level with a weekly increase of 1000 CNY/T, reaching to 101,000-102,000 CNY/T by cash with tax. Thanks to the rapid strengthen in alloys and the successful orders from Tranvic of 106,500 CNY/T by cash with tax, the overall inquiries for vanadium metavanadate are improving which boosts the market prices. Till Friday, the quotation for ammonium metavandate 98% was firmly charged at 102,000-103,000 CNY/T by cash with tax.

V2O5 Market

In the early of this week, the V2O5 flake plants from southwest had clinched the orders successfully which was concluded with the price of 108,000 CNY/T by acceptance and 106,500 CNY/T by cash with tax. Cheered by this success orders, retail V2O5 flake producers also raised the prices to 107,000-108,000 CNY/T by cash with tax. However, although the steel bidding prices for VN alloy had a bit improvement, it still cannot stop VN alloys producers from squeezing prices for the purchasing V2O5 flake. But the overall market price remained increase although retail V2O5 flake quotation asked firm while buyers bargained with low prices.

Ferro-Vanadium Market

The ferrovanadium market also goes strong with price climbing by 2500 CNY/T from 114,000-116,000 CNY/T to 117,000-118,000 CNY/T delivery by A/P. The key reason for this prices growing is the ascending prices from Tranvic’s long term orders which was 3000 CNY/T higher than that concluded in July. Besides, the prices from retail V2O5 flake also go up and which also pushed ferrovanadium. In addition, the new round of steel recruitment on alloys is active which also cheers up the market and makes the companies ask firm offers.

Vanadium Nitrogen Market

This week, the vanadium nitride alloy market showed a steady upward with a weekly increase of 3000 CNY, reaching To 164,000-166,000 CNY/T by acceptance with tax. First of all, the cost of raw materials of V2O5 flake has risen, which pushed the VN alloy quotations. Besides, the new round of steel tenders starts again which also boosts the demands for vanadium. At last, the macro policy on the real estate and fundamental construction is improving and most companies show a positive market in August. Boosted by many positive factors, the price of vanadium-nitrogen alloys rises this week.

3. Vanadium worldwide market review

On August 2, European vanadium prices remained stable with no fluctuations. Among them, European ferrovanadium was US$31.1-32.86/kg vanadium, equivalent to RMB111,800-118,000 CNY/T for ferrovanadium 50%; European vanadium pentoxide was US$7.7-8.76/lb, equivalent to RMB119,600-136,100 yuan/ton; American ferrovanadium was US$16-16.5/lb vanadium, equivalent to RMB126,800-130,800 CNY/T for ferrovanadium 50%.

4. Forecast on next week

FerroAlloyNet is forecasted an improving market for vanadium next week. Firstly, the steel recruitment may still keep active and strong in the early of month which will support the demands for vanadium. Then, the overall long term order from large scale V2O5 flake in August had set down at 108,000 CNY/T by acceptance with tax, and the VN alloy prices may not go down.