In May, the domestic fluorite price trend continued to decline. As of the end of the month, the average domestic fluorite price was 3493.75 RMB/ton, down 5.73% from the beginning of the month's price of 3706.25 RMB/ton, down 8.21% year-on-year.

Supply side: normal start of construction and sufficient supply of fluorite

The current situation of the domestic fluorite industry game still exists. Overall, the operating rate of enterprises has increased. Upstream mine mining is tight, and backward mines will continue to be eliminated. In terms of new mines, mineral investigation work is still difficult. In addition, the national departments need to rectify fluorite mines.

Fluorite mining enterprises face increasingly strict safety and environmental protection requirements. The difficulty of starting fluorite mines has increased. The tight raw materials have restricted fluorite enterprises from starting. However, as the temperature rises, northern enterprises have gradually started construction, and the supply of fluorite enterprises on the site has increased. The lack of procurement has made the spot on the site more sufficient, and the fluorite inventory on the site has increased.

The fluorite market continued to decline in May.

Demand side: Hydrofluoric acid prices decline and refrigerant market is still OK

The domestic hydrofluoric acid price trend declined in May, and the mainstream price of domestic hydrofluoric acid was negotiated in various regions of China was 11,200-11,700 RMB/ton. Some downstream hydrofluoric acid devices are still in the process of stopping, and the spot supply of hydrofluoric acid has not changed much. Manufacturers mainly purchase hydrofluoric acid on demand, and the overall construction of hydrofluoric acid remains more than 50%.

Hydrogen fluoride companies maintain orders for urgent needs, and hydrofluoric acid companies are in a loss-making state. The procurement of raw material fluoricite is not active. Downstream merchants are in a strong wait-and-see mood. The buyer and seller expect the future market to be weak due to poor digestion of demand. In June, the guide price of hydrofluoric acid manufacturers was lowered again. Affected by this news, the fluoric acid price trend is difficult to change.

The market conditions of terminal downstream refrigerants are still acceptable, and the terminal policies of the refrigerant industry are putting in a strong position, and demand is expected to achieve substantial improvement. Fluorine chemical companies are confident that the refrigerant market will be upheld. The current high-price procurement rhythm is slow, but the industry inventory is transmitted in a benign and orderly manner. Due to the high-price inventory, the terminal is relatively low in enthusiasm for stocking up, and the main purpose of purchasing upstream products on demand. The refrigerant market trend is average, and the fluorite market continues to decline.

In addition to the traditional demand of the refrigerant industry, fluorite, as an important mineral raw material in the modern industry, has been continuously developing in emerging fields. It is also used in strategic emerging industries such as new energy and new materials, as well as in the defense and nuclear industry, including lithium hexafluorophosphate, PVDF, graphite negative electrode, photovoltaic panels, etc. With the demand for new energy and semiconductors, fluorite application has been supported to a certain extent.

Future market forecast: The supply of domestic fluorite mines is difficult to improve in the near future, and some mines have suspended production and undergo safety inspections. The tight supply of fluorite mines is a favorable support for the fluorite market, but fluorite procurement in some areas is not actively causing inventory to increase.

In addition, the downstream is seriously resistant to high prices, and hydrofluoric acid companies mainly purchase on demand, and demand has not increased. In addition, the price of hydrofluoric acid has decreased. Overall, the fluorite market price is easy to fall and difficult to rise in the short term.

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