1 Market Review
1 Dolomite
This week, the ex-factory price (tax excluded) of 1-3 cm dolomite (Wutai) stood at 108 yuan/mt, unchanged WoW, while that of 2-4 cm dolomite (Wutai) was 138 yuan/mt, also unchanged WoW.
This week, the market price of dolomite remained stable. On the supply side, some small dolomite producers faced no hope of resuming production due to expired mining licenses, and most of the dolomite in the main magnesium metal producing areas was supplied by leading dolomite producers, ensuring a stable supply of dolomite. On the demand side, the operating rates of primary magnesium smelters in Shaanxi and Shanxi remained stable, providing significant demand-side support. Overall, the dolomite market maintained a supply-demand balance, with stable prices.
1.2 Magnesium Ingot
1.2.1 Magnesium Ingot (Fugu, Shenmu - Main Producing Areas)
This week, magnesium prices were under pressure. As of the press time, mainstream quotations for 99.90% magnesium ingot in the main producing areas remained at 16,000-16,100 yuan/mt, with magnesium prices consolidating at the bottom.
This week, magnesium prices consolidated at the bottom, and the deadlock in the magnesium market intensified. On the supply side, primary magnesium smelters faced dual pressures from inventory and capital, making it difficult to close deals at high prices. However, the high fluctuation of coal prices at highs kept the cost line of primary magnesium smelters elevated, prompting most producers to show low willingness to sell at low prices under cost support. On the demand side, downstream customers held a strong bearish sentiment, and under the trend of rushing to buy amid continuous price rise and holding back amid price downturn, purchasers only maintained just-in-time procurement, with sluggish market inquiries. Overall, this week, primary magnesium smelters showed low willingness to sell below 16,000 yuan/mt, and some purchasers reluctantly entered the market to restock at the 16,000 yuan/mt level, with magnesium prices consolidating at the bottom.
1.2.2 Magnesium Ingot (Tianjin Port - FOB China)
This week, the FOB China price was reported at $2,240-2,340/mt, with an average price of $2,290/mt. This week, foreign trade quotations remained weak and stable.
This week, FOB quotations stabilized weakly in line with the weak ex-factory prices of domestic magnesium plants, but underlying market dynamics were active. Downstream procurement sentiment rebounded slightly, with some overseas customers observing market lows and preparing to lock in orders in advance for 2026 demand. A small number of spot orders saw their transaction centers shift down to the $2,230-2,300/mt range. Currently, traders' quoted prices remained generally stable, with a cautious attitude towards selling. Overall, procurement volumes for foreign trade orders remained limited, with the market generally adopting a wait-and-see attitude, expecting further price declines.
1.3 Magnesium Powder
This week, the mainstream tax-included ex-factory price for Chinese magnesium powder with a mesh size of 20-80 ranged from 17,200-17,400 yuan/mt; the FOB China price was $2,420-2,480/mt.
Currently, the downward trend in the magnesium powder market remains firm, with prices continuing to hit bottom under the dual pressures of weakening raw material cost support and a lack of new orders. Although some producers saw a phased increase in procurement volume, this was mostly driven by just-in-time demand and long-term contract fulfillment, failing to generate substantial momentum for recovery. Overall, bearish sentiment continued to dominate trading pace, and the weak pattern was expected to persist in the short term.
1.4 Magnesium Alloy
This week, the mainstream tax-inclusive ex-factory price of magnesium alloy in China was 18,150–18,250 yuan/mt, while the mainstream FOB price was $2,520–$2,600/mt.
Magnesium alloy prices remained firm this week. Supply side, as the peak season effect weakened and magnesium alloy plants operated at full capacity, supply tightness eased. Specifically, leading magnesium alloy producers maintained order-based production, while second- and third-tier producers had relatively ample spot supply. Demand side, attention on magnesium alloy continued to grow. The new national standard implemented in September boosted steady demand from the two-wheeled EV sector, and the rising penetration rate of magnesium alloy interior parts in the NEV sector contributed to a clear YoY increase in magnesium alloy demand. Overall, the magnesium alloy market’s supply-demand relationship gradually balanced, some producers lowered processing fees, and price pressure increased slightly.
2 Weekly Summary
This week, the magnesium market showed a diverging pattern: the dolomite market remained stable in both supply and demand, with prices holding steady; the magnesium ingot market was under pressure and consolidated near the bottom, with offers in major production areas at 16,000–16,100 yuan/mt. Cost support limited producers’ willingness to sell at low prices, while downstream buyers maintained a strong bearish outlook and only made just-in-time procurement. In the export market, FOB offers were in the doldrums, some overseas customers held off on 2026 orders, and the actual transaction center shifted downward amid cautious overall trading. The magnesium powder market continued its downtrend, with weakened raw material cost support and a lack of new orders pushing prices to hit bottom, and the weak pattern was hard to reverse. Magnesium alloy prices performed relatively firmly; although supply tightness eased, demand grew steadily driven by the new national standard and the NEV sector, bringing the market toward balance, while processing fees saw a slight decrease. Overall, domestic demand for magnesium products remained weak, overseas demand was wait-and-see, and most categories were expected to remain under pressure in the short term.
