12th Rare Earth Summit
May 27-28, 2021
Hangzhou, Zhejiang, China
11th Aluminum Raw Materials Summit
May 20-21, 2021
Hangzhou, Zhejiang, China
9th Magnesium Summit
April 15-16, 2021
Hangzhou, Zhejiang, China
13th World InBiGeGa Forum
March 25-26, 2021
Hangzhou, Zhejiang, China
7th World Antimony Forum
June 13-14, 2019
Changsha, Hunan, China
7th Refractory & Abrasive Materials Summit 2019
May 23-24, 2019
Qingdao, Shandong, China
10th Aluminum Raw Materials Summit
May 16-17, 2019
Zhengzhou, Henan, China
11th Rare Earth Summit
May 9-10, 2019
Qingdao, Shandong, China
8th Magnesium Summit
April 11-12, 2019
Zhuhai, Guangdong, China
12th World InBiGeGa Forum
March 14-15, 2019
Zhuhai, Guangdong, China
6th World Manganese & Selenium Forum
May 21-22, 2018
Hainan Sanya, China
Interview with Wang Dayan, the Managing Director and General Manager of Anhui Star New Materials Technology Co., Ltd.
Anhui Star New Materials Technology Co., Ltd is located in Luyang Industrial Zone in Hefei, one of the three major technology cities. The company majors in research and business operations of selenium related new materials. Due to its long established cooperation with high schools, the company has very leading technology and could be independent in research and development of new products with selenium grading 99.5%, 99.9%, 99.99%,99.999% and in even higher purity in the form of powder, granule and ingot. Besides, it can also produce selenite 98%, selenium powder 98%, calcium iodate, chlorine cobalt etc..
Suppliers holding stocks and pushing selenium price to go up
----Interview with Wang Dayan, the Managing Director and General Manager of Anhui Star New Materials Technology Co., Ltd.
Asian Metal: Thanks for taking your precious time for this interview, Mr. Wang. As the only selenium supplier in Anhui province, would you please give a brief introduction to your business and the current market performance?
Mr. Wang: Anhui Star mainly focuses on selenium and has already created the first brand- Star- in Chinese domestic market. Though it is less than half a year for us to promote our product, Star selenium powder is now well accepted by our customers coming from industries like glass, ceramics and pigments.
We also produce other selenium series products, such as selenium granule, selenium ingot, selenium dioxide and selenite. Selenium powder and granule is mainly used for lead-selenium alloys, electron, CIGS film solar panel; selenium dioxide is most used for the production of electrolytic manganese, medicine and plating; selenite is used for feedstuff and agriculture.
We have a capacity of about 12 tons on processing selenium-containing materials and the scheduled processing quantity is about 150 tons in 2010.
Asian Metal: Since early this year, selenium price has been rising, to current high level of about RMB640/kg while many offers are above RMB650/kg. Why is selenium price pushed up so quickly? How is the market performing and do you think it will go on after the Spring Festival?
Mr. Wang: Here are some reasons for current high price of selenium powder. On one hand, the supply is very tight in the spot market while most downstream consumers do not hold much stock at hand. And on the other hand, many consumers would consider replenishing some stocks before the coming holiday especially when some of them would keep operation during the Spring Festival. However, we do not receive many inquiries these days and the buyers may be more sensible after the holiday.
Asian Metal: Is there any fundamental that pushes selenium price up? How do you think about the current demand?
Mr. Wang: Here are two factors pushing selenium price up: first, selenium price from overseas market is very high (while China relies greatly on import), and as a result the import cost is very expensive （high）, reducing import; second, manganese price went up early this year due to the higher production cost which mainly came from higher power cost. Selenium dioxide price rose very quickly as a result.
Considering the current demand, we think it is a bit soft while manganese production is a bit low. This won't improve much before the holiday. So demand comes very slow for selenium dioxide and selenium powder as well.
We think the current selenium price may keep high as suppliers are reluctant to sell for the moment as the supply stays tight.
Asian Metal: As we know, selenium is most used for the production of selenium dioxide in China. And that is greatly influenced by downstream manganese market. How is current manganese market?
Mr. Wang: Selenium market is related to selenium dioxide in China while selenium dioxide demand depends on manganese market and manganese is used for the stainless steel. For the moment, manganese production is low but it maintains soft demand of selenium dioxide. While selenium supply is tight, selenium dioxide price would keep firm in the near term.
Asian Metal: Selenium is also used in glass and pigments who can accept relatively higher prices. Is current price of about RMB640/kg workable?
Mr. Wang: It would be difficult for the buyers to accept such a price level. But while the market is volatile, it may not be easy for you to take chance to buy at a low price level especially when the supply is tight, selenium price may keep high for quite a long time. There are always risks for a deal.
Asian Metal: How about the current supply condition of selenium dioxide?
Mr. Wang: Most suppliers of selenium dioxide are located in Hunan. There are also output in Guangzhou, Guangxi and Jiangxi. The total output should be about 1,200 tons a year. Our capacity is 10 tons per month. The output does not change much.
Asian Metal: As we know, China has to rely on import for most of the demand of selenium while the output in domestic market is far from enough. China imported 108 tons and 119 tons of selenium in the last two months of 2009 respectively. How do you think about the current supply?
Mr. Wang: China is one of the major consumers of selenium in global market while there is very rare supply itself. The output in China is about 500 tons every year and the rest 1,500 tons reply on export. For the moment, it is a bit difficult to find a source from overseas market. The supply is a bit tight which pushes selenium price up and suppliers are reluctant to sell for the moment, expecting selenium price to rise further late this month.
Asian Metal: The high price in overseas market increases the import cost, which will be great risks for domestic buyers. How do you think the importers can reduce risks other than import through long term contracts?
Mr. Wang: There seems no way for the buyers to avoid the risks in the market. We can only judge from the actual situations each faces in different times. As to us, we hope to establish some foreign suppliers and start to import selenium-containing materials of competitive prices. We hope to find some long term customers to reduce the risks of rapid change.
Asian Metal: That is very kind for Mr. Wang to have the interview with Asian Metal. We wish your business would make great progress in the coming years.
Mr. Wang: Thank you! And we hope Asian Metal will be more successful this year.
Mr. Wang: Anhui Star mainly focuses on selenium and has already created the first brand- Star- in Chinese domestic market. Though it is less than half a year for us to promote our product, Star selenium powder is now well accepted by our customers coming from industries like glass, ceramics and pigments.
We also produce other selenium series products, such as selenium granule, selenium ingot, selenium dioxide and selenite. Selenium powder and granule is mainly used for lead-selenium alloys, electron, CIGS film solar panel; selenium dioxide is most used for the production of electrolytic manganese, medicine and plating; selenite is used for feedstuff and agriculture.
We have a capacity of about 12 tons on processing selenium-containing materials and the scheduled processing quantity is about 150 tons in 2010.
Asian Metal: Since early this year, selenium price has been rising, to current high level of about RMB640/kg while many offers are above RMB650/kg. Why is selenium price pushed up so quickly? How is the market performing and do you think it will go on after the Spring Festival?
Mr. Wang: Here are some reasons for current high price of selenium powder. On one hand, the supply is very tight in the spot market while most downstream consumers do not hold much stock at hand. And on the other hand, many consumers would consider replenishing some stocks before the coming holiday especially when some of them would keep operation during the Spring Festival. However, we do not receive many inquiries these days and the buyers may be more sensible after the holiday.
Asian Metal: Is there any fundamental that pushes selenium price up? How do you think about the current demand?
Mr. Wang: Here are two factors pushing selenium price up: first, selenium price from overseas market is very high (while China relies greatly on import), and as a result the import cost is very expensive （high）, reducing import; second, manganese price went up early this year due to the higher production cost which mainly came from higher power cost. Selenium dioxide price rose very quickly as a result.
Considering the current demand, we think it is a bit soft while manganese production is a bit low. This won't improve much before the holiday. So demand comes very slow for selenium dioxide and selenium powder as well.
We think the current selenium price may keep high as suppliers are reluctant to sell for the moment as the supply stays tight.
Asian Metal: As we know, selenium is most used for the production of selenium dioxide in China. And that is greatly influenced by downstream manganese market. How is current manganese market?
Mr. Wang: Selenium market is related to selenium dioxide in China while selenium dioxide demand depends on manganese market and manganese is used for the stainless steel. For the moment, manganese production is low but it maintains soft demand of selenium dioxide. While selenium supply is tight, selenium dioxide price would keep firm in the near term.
Asian Metal: Selenium is also used in glass and pigments who can accept relatively higher prices. Is current price of about RMB640/kg workable?
Mr. Wang: It would be difficult for the buyers to accept such a price level. But while the market is volatile, it may not be easy for you to take chance to buy at a low price level especially when the supply is tight, selenium price may keep high for quite a long time. There are always risks for a deal.
Asian Metal: How about the current supply condition of selenium dioxide?
Mr. Wang: Most suppliers of selenium dioxide are located in Hunan. There are also output in Guangzhou, Guangxi and Jiangxi. The total output should be about 1,200 tons a year. Our capacity is 10 tons per month. The output does not change much.
Asian Metal: As we know, China has to rely on import for most of the demand of selenium while the output in domestic market is far from enough. China imported 108 tons and 119 tons of selenium in the last two months of 2009 respectively. How do you think about the current supply?
Mr. Wang: China is one of the major consumers of selenium in global market while there is very rare supply itself. The output in China is about 500 tons every year and the rest 1,500 tons reply on export. For the moment, it is a bit difficult to find a source from overseas market. The supply is a bit tight which pushes selenium price up and suppliers are reluctant to sell for the moment, expecting selenium price to rise further late this month.
Asian Metal: The high price in overseas market increases the import cost, which will be great risks for domestic buyers. How do you think the importers can reduce risks other than import through long term contracts?
Mr. Wang: There seems no way for the buyers to avoid the risks in the market. We can only judge from the actual situations each faces in different times. As to us, we hope to establish some foreign suppliers and start to import selenium-containing materials of competitive prices. We hope to find some long term customers to reduce the risks of rapid change.
Asian Metal: That is very kind for Mr. Wang to have the interview with Asian Metal. We wish your business would make great progress in the coming years.
Mr. Wang: Thank you! And we hope Asian Metal will be more successful this year.