[SMM Magnesium Weekly Review: Weak Supply-Demand Pattern, Magnesium Market Fluctuated Downward Overall This Week] China's magnesium industry chain was overall in the doldrums this week. Upstream, the dolomite market remained stable. In Shanxi production areas, some capacity was shut down due to environmental protection-related controls, tightening quality supply sources. However, supply from other regions quickly filled the gap, keeping overall supply sufficient. Combined with ample raw material reserves at primary magnesium enterprises, only just-in-time procurement was maintained, and dolomite prices remained stable. In major production areas, primary magnesium operations were stable, spot supply was sufficient, producers were active in shipments, and industry competition intensified. Some enterprises offered price concessions to facilitate transactions, driving magnesium ingot prices into a sustained gradual decline. Downstream, end-user wait-and-see sentiment was strong. Influenced by the mentality to rush to buy amid continuous price rise and hold back amid price downturn, most made just-in-time procurement only, with large orders scarce. The market exhibited a pattern of strong supply and weak demand. Export quotations were adjusted downward in tandem, and ex-China trading was sluggish. In deep processing, magnesium powder operations pulled back slightly, with expectations of tightening supply going forward. However, demand in and outside China lacked sufficient support, and the market moved sideways. Magnesium alloy enterprises maintained stable operations, with some inventory accumulating slightly. Industry orders diverged, and price spreads among quotations continued to widen. Downstream demand was mixed, with new energy vehicle demand seeing steady release while two-wheeler demand remained persistently weak. Overall demand support was soft, supply was relatively ample, and prices were in the doldrums in tandem with magnesium ingot.

[SMM Magnesium Weekly Review: Magnesium Market Pulled Back on Weakness, Export Prices Rose Against the Trend on Policy Impact] The magnesium market was overall in the doldrums this week. Magnesium ingot quotes in major producing areas fell 350 yuan/mt WoW to 17,000-17,150 yuan/mt. Downstream buyers showed strong wait-and-see sentiment, and panic selling accelerated the price decline, with the market entering a phase of rational pullback. Export side, affected by tightened customs supervision on non-compliant exports and dual-use items, FOB quotes rose against the trend by $50/mt on Thursday to $2,500-2,600/mt, with domestic and overseas market trends clearly diverging. Magnesium powder and magnesium alloy prices pulled back along with raw materials, while processing fees remained stable, and the market overall showed strong supply and weak demand. Magnesium prices are expected to see gradually narrowing declines in the short term, with subsequent attention needed on changes in export policies and downstream purchase willingness.

[SMM Magnesium Weekly Review: Fear of High Prices Dominates Demand Side, Magnesium Ingots Show Signs of Weakness After Consolidating at Highs] This week, various segments of China's magnesium industry chain diverged in performance, each exhibiting distinct supply-demand patterns. The dolomite market remained stable, with some areas in core production regions halting production, supplemented by supplies from surrounding sources. Downstream primary magnesium smelters saw a slight rise in operating rates and restocked on rigid demand, providing solid demand support, with short-term trends expected to remain stable. Magnesium ingots in major production areas showed signs of weakness after consolidating at highs. Slight inventory buildup at producers weakened the sentiment to hold back from selling, while downstream fear of high prices was strong and orders were scarce, shifting the supply-demand pattern toward buyers. The FOB market for magnesium ingots at Tianjin Port saw weak transactions, with producers' sentiment to hold prices firm cooling down. Short-term quotes may edge lower but are expected to stabilize overall. Magnesium powder prices remained firm, with producers raising operating rates to ensure supply. Both domestic and export demand recovered, and enterprise stockpiling behavior may front-load subsequent demand. Magnesium alloys consolidated at highs, with producers maintaining stable operating rates though some had elevated inventory levels. Downstream procurement was mainly driven by rigid restocking demand, and end-user order release exhibited structural divergence, with short-term prices expected to hold steady.

[SMM Magnesium Weekly Review: Magnesium Market Held Up Well, With Cost Support and a Tug-of-War Between Sellers and Buyers Continuing] This week, the overall magnesium industry chain held up well, with prices of all products generally raised. The raw material dolomite market remained stable, with ample supply and steady demand. Magnesium ingot prices consolidated at highs. At the beginning of the week, supported by rising energy costs such as ferrosilicon and coke and tight spot availability, prices jumped by 300 yuan/mt. Subsequently, downstream fear of high prices emerged, transactions failed to keep pace, and prices consolidated at highs. In foreign trade, the center of magnesium ingot FOB quotes moved up to $2,440-2,470/mt. Wait-and-see sentiment outside China remained strong, but influenced by bullish expectations in China, forward orders were gradually locked in. Magnesium powder prices remained firm, with strong cost support. Export data increased YoY, while domestic trade was mainly driven by just-in-time procurement. The benchmark price of magnesium alloy held up well, but the release of new capacity led to increased supply, processing fees stayed in the doldrums, and the market showed a pattern of strong supply and weak demand. Overall, cost support remained the core driver behind magnesium prices fluctuating at highs, while downstream acceptance of high prices was limited, and the market may continue this tug-of-war in the short term.

[SMM Magnesium Weekly Review: Magnesium Market Continued to Consolidate at High Levels, with Cost Support and Demand Stalemate Persisting] This week, the overall magnesium industry chain continued to consolidate at high levels, with prices of all categories remaining largely stable. The raw material dolomite market operated steadily, with differentiated supply across regions but overall stability, while the procurement pace on the demand side remained steady. The magnesium ingot market remained in a supply and demand stalemate, as producers showed strong reluctance to sell, and low circulating inventory supported firm quotations. However, both domestic trade and foreign trade demand appeared weak, transactions were sluggish, and FOB quotations stayed at high levels, though actual deals were limited. The magnesium powder market remained stable with a firm tone, domestic trade demand continued to recover steadily, foreign trade growth was limited, and cost support remained in place. The magnesium alloy market's benchmark price held steady, processing fees remained firm, enterprise operating rates rebounded, and downstream demand gradually recovered, though the pace of growth slowed, with overall transactions remaining mild. Looking ahead, the tug-of-war between cost support and weak demand is expected to continue, and the market may continue to consolidate at high levels.

[SMM Magnesium Weekly Review: High Costs and Demand Wait-and-See Game, Magnesium Market Continued Rangebound Fluctuations Before the Holiday] This week, the magnesium market overall exhibited a pattern of stable supply and demand alongside strengthening cost support. The price of raw material dolomite remained firm due to tightening supply in the main production areas and rising logistics costs. Influenced by losses in semi coke, the cost of magnesium ingot increased significantly. However, affected by increased willingness among small and medium-sized producers to recoup funds and sluggish transactions, the price dropped back slightly to around 16,400 yuan/mt. Both domestic and international markets were dominated by forward orders, with downstream players generally adopting a wait-and-see attitude. Trading in the magnesium powder and magnesium alloy markets was stable, with magnesium alloy processing fees remaining firm amid cost fluctuations. Overall, the current market is fluctuating rangebound between cost support and demand wait-and-see, and it is expected to continue consolidating before the holiday.

[SMM Magnesium Morning Conference Notes: Magnesium Market Under Pressure Amid Tight Raw Material Supply and Sluggish Demand] February 4, cost side, dolomite supply tightened as leading producers in Wutai suspended production, with prices expected to hold up well; ferrosilicon futures dropped slightly, while spot transactions remained neutral, with downstream users mainly making just-in-time procurement. The magnesium ingot market continued its weakness, with offers in Fugu County lowered to 16,400-16,500 yuan/mt, sluggish transactions, and strong wait-and-see sentiment among downstream users. Foreign trade was mainly focused on fulfilling previous orders, with few new orders. The benchmark price of magnesium alloy was under pressure due to declining magnesium ingot prices on the cost side, but processing fees held steady. As the Chinese New Year approached, some end-users began holidays, leading to a slight decrease in orders, with the market maintaining a tight balance. The magnesium powder market remained generally stable, though the center shifted slightly downward due to falling raw material prices. On the demand side, domestic trade involved purchasing as needed, while foreign trade saw limited new orders. Overall, the magnesium industry chain faced partial supply tightness providing support in the short term, but sluggish demand remained the core factor driving price trends, with the market expected to stay in the doldrums.

[SMM Magnesium Morning Meeting Summary: Divergence in Raw Material Prices, Magnesium Ingot and Downstream Products in the Doldrums] Supply side, some dolomite mines in Wutai, Shanxi, continue to suspend production, and the supply-strong, demand-weak pattern of ferrosilicon persists. Demand side, domestic rigid demand provides limited support, with European summer breaks leading to weaker procurement and significant price-driving-down in the Asian market. Overall, under the combined impact of production resumption expectations and the off-season during summer breaks, the magnesium market is expected to maintain a weak pattern in the short term.

[SMM Spot Magnesium Ingot Report: Magnesium Ingot Market Continues to Be in the Doldrums, Tug-of-War Between Sellers and Buyers Intensifies] SMM reported on June 17 that the domestic magnesium ingot market continued to be in the doldrums today, with mainstream transaction prices in the Fugu region ranging from 15,950 to 16,050 yuan/mt; China's FOB quotes ranged from $2,210 to $2,300/mt. Domestic ex-factory prices generally pulled back to the 16,000 yuan/mt mark. Although producers showed strong reluctance to budge on prices, there was insufficient support for transactions. Market trading sentiment was sluggish, with downstream purchases mainly driven by rigid demand, and traders cautiously waiting and watching.

[SMM Adds New 9990 Magnesium Ingot CIF (Netherlands) Price] To promote the international trade of magnesium ingots, help upstream and downstream enterprises worldwide better grasp market dynamics, obtain timely spot market information, reduce cross-border transaction risks and costs, and deepen research on the magnesium ingot industry chain, SMM will add and publish a new 9990 magnesium ingot CIF (Netherlands) price point starting from June 19, based on comprehensive market surveys, to provide references for the international market.