Dead burned magnesia 94%-95% runs steady

After Spring Festival, market transaction of dead burned magnesia 94%-95% doesn’t witness visible rebound in China and market price remains temporarily steady. Now mainstream FOB price of DBM 95%, lump stays at 440-450 USD/t. As coal price is declining, buyers are cautious in placing orders and final deal generally needs several rounds of negotiation.

In respect of supply, as number of DBM 94%-95% factories in China is limited, the competition is not so fierce. However, in long term DBM 94%-95% price is likely to go up since magnesite is valuable resource.

Overall, downstream demand is anticipated to sustain softness and there is possibility for DBM 94%-95% price to edge down in later period.