Poor downstream demand, graphite electrodes stagflation sentiment aggravated

Poor downstream demand, graphite electrodes stagflation sentiment aggravated

The domestic graphite electrode prices were generally stable this week. Downstream: Starting in June, many regions have curtailed power and production, and the steel market has entered the traditional off-season. The operating rate of electric furnace steel has generally shown a steady decline. So far, the capacity utilization rate of 92 independent electric furnace steel plants is 71.55%.

Market aspect

 
July-August is the low season in the steel market, domestic graphite electrode shipments are not ideal, and market prices are in a stagnant situation. Recently, some small and medium-sized graphite electrode manufacturers are bidding fiercely, and some companies with large inventories do not rule out the possibility of low-cost shipments in the later stage. As of August 12, the mainstream price of UHP450mm with 30% needle coke content on the market is 19,500-20,000 yuan/ton, the mainstream price of UHP600mm is 24,000-26,000 yuan/ton, and the price of UHP700mm is 28,000-30000 yuan/ton.

Raw materials

 
This week, domestic petcoke prices are still mainly rising. As of August 12, Fushun Petrochemical 1#A petcoke was quoted at 4,100 yuan/ton, an increase of 200 yuan/ton from last week, and the price of low-sulfur calcined coke was raised to 5600- 5800 yuan/ton, an increase of 100-200 yuan/ton.

Domestic needle coke quotations have not changed much this week. At present, domestic needle coke supplies are relatively abundant, and overseas products are relatively short. As of this Thursday, domestic coal-based and oil-based product market mainstream prices are 8,000-11,000 yuan/ton.

Steel plant aspect

 
This week, domestic steel prices were generally stable. Recently, various regions are gradually implementing the steel production reduction plan for the second half of the year. Some leading steel mills have made it clear that the restriction of production has become a political issue. Production requirements, and implement the annual production leveling control plan. As of August 12, the average daily consumption of graphite electrodes in domestic steel mills was 1,417 tons, a decrease of 2.53% from last week.

Market outlook forecast

 
The stagflation of the graphite electrode market has increased recently, and some companies have gradually increased their inventories, and the possibility of price loosening will not be ruled out in the later period.


Post time: Aug-13-2021