Low European antimony trioxide prices render Chinese material uncompetitive
2011-11-21 10:00:49 [Print]
BEIJING (Asian Metal) 21 Nov 11 - The recent emergence of low priced local material into the European antimony trioxide market has made it increasingly difficult for Chinese material to remain competitive. While sources confirm demand for antimony trioxide continues to remain slow, they are optimistic the appearance of relatively cheap antimony trioxide will help to entice buyers back to the market. Local sources further added that price levels continue to differ substantially as completed transactions remain relatively limited.
While local sources put Chinese produced antimony trioxide prices at USD12,200-12,400/t FOB China, they added that European material, after factoring in import duties, was now being offered at a roughly 2-3% discount.
A European based source acknowledged that Chinese material is still too expensive for consumers to accept. The source, who typically deals with 1 container per month, confirmed that Chinese supplied antimony trioxide prices are currently around EUR9.8-10/kg (roughly USD13,250-13,500/t) DDP.
According to the source, Chinese price levels are still too high for many consumers to accept. While the source had not received low-priced offers from local suppliers, he agreed that prices needed to fall in order to stimulate demand. “Prices are still too high for most consumers to accept. Price declines may not be able to stimulate a major rebound in demand at this point, but they might be able to entice some buyers back to the market,” added the source.
A second European based source confirmed that low priced European manufactured material was readily available on the market. While the source reported having recently received offers for Chinese produced antimony trioxide at roughly USD13,300/t, the source also added that newly available local material enjoyed a several hundred dollar discount.
The source believes the presence of relatively cheap, high quality, local material may help to stimulate a mild spike in demand. While the source remains uncertain as to how recent significant price declines were possible, he confidently added it would now be difficult for Chinese producers to effectively compete in the European market. “We’re presently seeing a change in European antimony trioxide markets, in the sense that Chinese material is currently not competitive with local prices. Demand is slow at present but this low priced material may help to draw consumers back to the market,” explained the source.
While local sources put Chinese produced antimony trioxide prices at USD12,200-12,400/t FOB China, they added that European material, after factoring in import duties, was now being offered at a roughly 2-3% discount.
A European based source acknowledged that Chinese material is still too expensive for consumers to accept. The source, who typically deals with 1 container per month, confirmed that Chinese supplied antimony trioxide prices are currently around EUR9.8-10/kg (roughly USD13,250-13,500/t) DDP.
According to the source, Chinese price levels are still too high for many consumers to accept. While the source had not received low-priced offers from local suppliers, he agreed that prices needed to fall in order to stimulate demand. “Prices are still too high for most consumers to accept. Price declines may not be able to stimulate a major rebound in demand at this point, but they might be able to entice some buyers back to the market,” added the source.
A second European based source confirmed that low priced European manufactured material was readily available on the market. While the source reported having recently received offers for Chinese produced antimony trioxide at roughly USD13,300/t, the source also added that newly available local material enjoyed a several hundred dollar discount.
The source believes the presence of relatively cheap, high quality, local material may help to stimulate a mild spike in demand. While the source remains uncertain as to how recent significant price declines were possible, he confidently added it would now be difficult for Chinese producers to effectively compete in the European market. “We’re presently seeing a change in European antimony trioxide markets, in the sense that Chinese material is currently not competitive with local prices. Demand is slow at present but this low priced material may help to draw consumers back to the market,” explained the source.
Antimony Trioxide 99.5%min In warehouse Rotterdam
Unit:EUR/kg
China antimony trioxide producers' operating rate statistics by province by month
Unit: %
