Since late February, the price of magnesium ingots has continued to fall. The FOB price of Mg 99.9 at Chinese ports has gradually dropped. It goes down from around 2220 USD/Ton to 2120 USD/Ton in early March. The decline has reached 100 USD per ton. This is the overall trend after the Chinese Spring Festival, reflecting several characteristics of the current magnesium ingot market. 1. Weak recovery on the demand side; 2. Weak support on the cost side; 3. Further contradictions between supply and demand. This week, the magnesium metal market continued its previous downward trend. The price of Magnesium Ingot supplier quoting is around 2060 USD/Ton. The continuous decline in magnesium prices has frustrated market sentiment, resulting in strong wait-and-see sentiment among buyers, reduced transactions, and a vicious cycle, further depressing prices.
From the perspective of production costs, the price of semi-coke has continued to fall. Due to the reduction in steel mills’ bidding and the general decline in steel mills’ pricing. After the Spring Festival, the price of ferrosilicon futures opened high and fell, and downstream demand grew slowly. Therefore, it lacks solid support, although there is no room for a significant decline in the cost of magnesium ingots. In order to promote transactions, the Magnesium Ingot factory passively reduced prices. However, low prices will also lead to profit compression or even losses, which will in turn lead to increased shutdowns and maintenance. With the subsequent passive maintenance of high-cost production capacity, the magnesium market may have opportunity to rebound in the future.
Overall, in the short term, the price of magnesium metal ingot needs to pay attention to two key factors: one is the demand for replenishment of the overseas manufacturing inventory cycle; the other is the order demand of downstream magnesium alloy factories in China.
Price of Magnesium Ingot 2025
Looking at the whole of 2025, whether the demand for magnesium ingots can be effectively recovered becomes the key. The market focus may still be on the growth of demand in the fields of new energy vehicles and aerospace, which may provide some support for magnesium prices. However, when predicting the possible range of fluctuations in the price of magnesium metal in 2025, it is necessary to consider a variety of factors, including market demand, supply conditions, production costs, macroeconomic environment, policy impacts and possible geopolitical events. In particular, the export trade of magnesium products may suffer from policy obstacles such as tariff wars and trade wars. This is a factor that needs to be considered for both magnesium ingot manufacturers in China and magnesium ingot exporter and importers.