According to China Nonferrous Metals News, during the first week of November, driven by rising coal prices, the magnesium market stabilized early and gained later. In the first half of the week, the magnesium market stabilized at low levels; In the latter half, as coal prices climbed, factories showed stronger willingness to restore profits and slightly raised quotes to test the market. Driven by the “buy on the rise, not on the dip” procurement mentality, some trading firms and downstream users made small follow-up purchases, propelling the magnesium market to stabilize and rebound. However, demand remains weak overall. Users without current orders remain cautious in following suit, resulting in limited high-end transactions and insufficient demand support.

As of November 7, the mainstream ex-factory cash quotation (tax-inclusive) for 99.9% magnesium ingots in Fugu region stood at CNY 16,400–16,500/ton, with mainstream transaction prices at CNY 16,400/ton. Some slightly lower-priced supplies were also available. This represents an increase of approximately CNY 300/ton compared to the previous Friday, with other regions following suit in adjustments.

It is understood that some trading companies and downstream users stockpiled moderate quantities when Fugu's common magnesium price was at ¥16,100/ton. As magnesium prices continued to rise in the latter half of last week, downstream purchasing enthusiasm remained low, with most adopting a wait-and-see approach.

On November 7, magnesium export demand had already been released in advance during September, resulting in limited new export orders for November. Market trading activity remained subdued, with downstream buyers generally adopting a cautious approach.

From a supply-demand perspective, with no significant improvement in magnesium demand currently and low acceptance of high prices among downstream users, pressure for the magnesium market to remain at elevated levels is expected to persist in the short term. Considering the recent notable increase in coal prices and rising production costs for factories, further declines in the magnesium market are unlikely given cost support.

Overall, the magnesium market is expected to remain weak but stable this week, with demand follow-through requiring further observation.

As an integrated internet platform providing benchmark prices, on November 13, the benchmark price of magnesium on SunSirs was 16,350.00 RMB/ton, an increase of 0.15% compared with the beginning of the month (16,325.00 RMB/ton).

Application of SunSirs Benchmark Pricing：

Traders can price spot and contract transactions based on the pricing principle of agreed markup and pricing formula (Transaction price=SunSirs price + Markup).

If you have any inquiries or purchasing needs, please feel free to contact SunSirs with support@sunsirs.com.