The Dutch Ministry of Economic Affairs and Climate has designated Resilicon’s planned polysilicon facility in Groningen, Netherlands, as a strategic project under the EU’s Net Zero Industry Act (NZIA). The project aims to reduce heavy reliance on non-EU polysilicon sources, where over 85% of global production is currently concentrated. With an estimated capital requirement of approximately €900 million, the facility is designed to be one of the world's most energy-efficient plants, utilizing green raw materials like metallurgical silicon and hydrogen. This initiative is pivotal for strengthening European supply chain resilience, targeting the projected 80,000–120,000 MT of annual European polysilicon demand by the end of the decade.

[SMM Domestic Analysis: Magnesium Alloy Emerges as Core Direction for Material Industry Upgrade; Industry Expansion Generates Upstream Raw Material Dividends; Magnesium Ingot and Ferrosilicon Enter Growth Window Period] Magnesium alloy, with its core advantages of lightweight, high strength, and corrosion resistance, is seeing its penetration rate continuously increase in high-end manufacturing sectors such as NEVs, aerospace, electronic equipment, and rail transit, becoming one of the core directions for global material industry upgrade. As downstream application scenarios continue to expand, the market size of magnesium alloy is showing rapid growth, leading to structural expansion in the demand for upstream raw materials like magnesium ingot and ferrosilicon in its industry chain, with the industrial chain transmission effect gradually becoming prominent.

[SMM Domestic Analysis: Magnesium Alloy Becomes the Core Direction of Material Industry Upgrading; Industry Expansion Drives Upstream Raw Material Dividends; Magnesium Ingot and Ferrosilicon Enter a Growth Window Period] Magnesium alloy, with its core advantages such as lightweight, high strength, and corrosion resistance, continues to increase its penetration rate in high-end manufacturing fields like NEVs, aerospace, electronic equipment, and rail transit, becoming one of the core directions of global material industry upgrading. As downstream application scenarios continue to expand, the market size of magnesium alloy is showing rapid growth, leading to structural expansion in the demand for upstream raw materials such as magnesium ingot and ferrosilicon in the industry chain, with the transmission effect of the industry chain gradually becoming prominent.

[SMM Magnesium Morning Meeting Minutes: Trading Follow-Up Lacked Strength, Magnesium Prices Were Under Pressure Yesterday] Magnesium prices were under pressure yesterday, as the supply-demand imbalance remained difficult to reverse, and prices are expected to continue consolidating at low levels.

[Silicone + Capital Disturbances Led to Significant Price Volatility This Week, Silicon Metal Center Rose WoW]: Silicon metal prices experienced rapid and substantial fluctuations this week, starting weak at the beginning of the week, then surging strongly by mid-week before pulling back. As of November 20, SMM oxygen-blown #553 silicon in east China was at 9,500-9,600 yuan/mt, up 50 yuan/mt WoW; #441 silicon was at 9,700-9,800 yuan/mt, up 50 yuan/mt WoW; #421 silicon (used in silicone) was at 9,800-10,200 yuan/mt, flat WoW; and #3303 silicon was at 10,400-10,600 yuan/mt, flat WoW. In the futures market, the most-traded silicon metal contract surged strongly on Wednesday, gaining over 4% and hitting a peak above 9,500 yuan/mt. The main reasons were that after a joint meeting to hold prices firm by monomer plants on Tuesday, offers for various silicone products—a downstream sector of silicon metal—were increased again; planned production cuts in the silicone sector fell short of expectations, having limited impact on silicon metal consumption in the short term; coupled with capital support, the futures market rose rapidly on Wednesday afternoon. After the futures rally, several silicon enterprises in northern China actively sold to spot traders, and the contract pulled back to 9,390 yuan/mt by the close. Market capital sentiment cooled on Thursday, alongside a significant MoM drop in October export data. According to customs data, silicon metal exports in October 2025 were 45,100 mt, down sharply by 36% MoM and 31% YoY. On November 20, the most-traded SI2601 silicon metal futures contract remained weak, closing at 9,075 yuan/mt, down 315 yuan/mt from the previous day but up 55 yuan/mt from last Friday.

[SMM Cast Aluminum Alloy Morning Comment: The Most-Traded Cast Aluminum Alloy Contract Retreats After Rapid Rise, Edges Down 0.05%—ADC12 Cost Support Holds Up Well] Overnight, the most-traded cast aluminum alloy 2601 futures contract opened at 21,090 yuan/mt, surged to 21,165 yuan/mt in early trading before pulling back, and finally closed at 20,965 yuan/mt, dropping slightly by 0.05%, showing a fluctuating trend of "retreating after a rapid rise." Trading volume was 2,196, and open interest was 15,059. The current contract is in a consolidation phase within a short-term bullish trend: it holds up well with support from moving averages, but the intraday retreat after a rapid rise combined with a low RSI suggests possible short-term fluctuations for adjustment.

[SMM Magnesium Morning Meeting Minutes: Magnesium Plants Show Weak Reluctance to Budge on Prices, Magnesium Prices Were Under Pressure Today] Today, ex-factory prices for 99.90% magnesium ingots in the main production areas showed a downward trend. Supply side, most primary magnesium smelters experienced varying degrees of inventory buildup, and inventory pressure on the production side increased. Some manufacturers stimulated transactions with low prices.

[SMM Magnesium Morning Meeting Minutes: Magnesium Alloy Supply and Demand Both Strong with Firm Prices, Magnesium Ingot Under Downward Pressure] The magnesium market overall showed a divergent trend today. Dolomite prices on the raw material side held steady, with stable production at magnesium plants in major producing regions providing rigid support; ferrosilicon demand was insufficient, and prices were in the doldrums. The magnesium ingot market continued to see oversupply, with offers in the Fugu area lowered by 50 yuan to 16,350-16,450 yuan/mt, and accumulating plant inventories intensified bearish sentiment. Magnesium alloy performed strongly, with tight spot resources supporting prices fluctuating at highs, sufficient downstream orders, and some enterprises' production schedules already extending several weeks ahead, presenting a picture of strong supply and demand. The magnesium powder market was mainly driven by rigid demand, and with weakening cost support, prices fluctuated rangebound under pressure. Overall, magnesium alloy's prosperity continues to rise, while the magnesium ingot and magnesium powder markets still face short-term downward pressure.

[SMM Magnesium Morning Meeting Summary: Magnesium Price Decline Temporarily Halted, Demand Recovery Still Under Observation] Yesterday, the magnesium market showed a divergent trend. Fugu magnesium ingot prices were quoted at 16,950-17,050 yuan/mt, with manufacturers' reluctance to budge on prices driving the range up to 17,000-17,200 yuan/mt, and daily transactions exceeded 1,000 mt. FOB prices remained at $2,340-2,400/mt, but overseas trade sentiment was dominated by a wait-and-see attitude. On the raw material side, dolomite prices held steady, while ferrosilicon remained firm due to support from magnesium plant production resumptions. Magnesium alloy followed the upward fluctuation of magnesium ingots, with processing fees staying firm. The magnesium powder market remained sluggish, with downstream buyers exercising caution. Although short-term reluctance to budge on prices is supporting the market, insufficient demand recovery coupled with slow overseas order releases suggests that prices may still face downward pressure in late September.

[SMM Magnesium Morning Meeting Summary: Tug-of-War Between Sellers and Buyers Persists, Magnesium Prices Fluctuate in the Doldrums] Last week, the magnesium market continued to operate in the doldrums, with Fugu magnesium ingot offers at 16,950-17,050 yuan/mt and FOB prices at $2,340-2,400/mt, reflecting weak supply and demand. Domestic trade saw reduced end-user consumption due to the National Day parade, while foreign trade exhibited strong bargain-down purchasing sentiment with limited actual transactions. On the supply side, sampled magnesium plants reported weekly production of 18,076 mt (operating rate: 59.3%), up 3.8% MoM. Raw material dolomite prices remained stable, while ferrosilicon demand was sluggish with rangebound fluctuations. Magnesium alloy and powder prices followed magnesium ingots with minor adjustments, but decentralized downstream procurement and low inventory provided bottom support. The market is expected to maintain a weak and stable pattern in the short term, with the extent of September demand recovery becoming a key variable.