BEIJING (Asian Metal) 4 Nov 19 – Currently, mainstream prices for Chinese vanadium nitride drop to RMB152,000-155,000/t (USD28.1-28.6/kg V) EXW D/A 180 days, down by RMB5,000/t (USD0.9/kg V) from last week. Steel mills reduced their purchase volume for weak demand of rebar market. Producers have to reduce their quotation to release their inventory pressure. Insiders believe prices of vanadium nitride would drop slightly in the coming week.
A producer in South China quotes their vanadium nitride at RMB155,000/t (USD28.6/kg V) EXW D/A 180 days and can accept RMB152,000/t (USD28.1/kg V) for firm bids, down by RMB5,000/t (USD0.9/kg V) from last week. “Our regular steel mill client used to buy 80tpm for vanadium nitride but they only bought 30t this month as they are facing high pressure to sell their rebar products,” said the source. He added, “I sold 30t to this steel mill at RMB152,000/t (USD28.1/kg V) late last week.” As the market demand reduced a lot, he believes prices of vanadium nitride would drop to RMB150,000/t (USD27.7/kg V) in the coming week.
With an annual production capacity of 1,200t, they produced 90t in September and 60t in October, holding 30t of stocks now.
A trader in South China claimed the lowest quotation for vanadium nitride he received stands at RMB150,000/t (USD27.7/kg V) EXW D/P, down by RMB5,000/t (USD0.9/kg V) from last week. “We bought 20t at this price level last Friday,” said the source. He added, “I heard prices of vanadium pentoxide flake 98%min have dropped to RMB95,000/t (USD6.3/lb V2O5) EXW D/P now, down by RMB5,000/t (USD0.3/lb V2O5) from one week ago.” Considering the production cost dropped, he believes prices of vanadium nitride would drop by RMB2,000/t (USD0.4/kg V) in the coming week.
With a regular trading volume of 60tpm for vanadium nitride, they sold 700t in 2018 and have sold 450t so far this year. They sold 60t in September and 40t in October, holding 20t of stocks now, the same with one month ago.
www.asianmetal.com
