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Zirconium oxychloride increased by 16.44% in May

Zirconium oxychloride increased by 16.44% in May

Jun 9,2017
According to the business community, the bulk list data show that: in June 8, 2017, the domestic industrial grade zirconium oxychloride (ZOC-36) factory price 14000 yuan / ton, compared with the same period of 2016 prices rose 57.53%, prices rose 50.09% compared with the same period in 2015. In the past May, the monthly rate of zirconium oxychloride increased by 16.44%, which has rewritten the trend of the market of zirconium oxychloride in recent years.
Since 2008, the zirconium market has shown a sluggish trend, the demand has shrunk dramatically, the industry has a serious excess capacity and prices have gone down all the way. Zirconium zirconium, the main raw material of zirconium oxychloride, is also difficult to provide favorable cost support, and the overall zirconium market is fatigued and weak. China is a major importer of zircon sand, zircon sand each year about 80% for imports, and about 90% of global zirconium oxychloride production is in China, so the production and pricing of zircon sand greatly determines the trend of cost of zirconium oxychloride. The world's major producers of zircon sand are in Australia and indonesia. In recent years, unfavorable zircon market driven by the international leading enterprises to adopt limited production price strategy: in February 16, 2016, Australia Lu AI card resources Ltd. announced that the company delay in JACINTH-AMBROSIA mining in Nan'ao Eucla Basin and selected mine. The JACINTH-AMBROSIA mine project is the flagship project, the world's largest zirconium mine, which accounts for 25%~30% of the world's supply. The delay will begin in April 16, 2016 for a period of 18~24 months, depending on the market situation. Effect of cost subject to the strategy, and many industry insiders bearish zirconium industry in the future, the downstream demand enterprise also gradually reduce the inventory of zircon sand.
April 2017, the national environmental protection inspection team stationed in Shandong, zirconium oxychloride market ushered in an epic change. The main producing areas of China's zirconium oxychloride are Guangdong and Southern China in Fujian, Shandong and Jiangxi in East China, while Shandong occupies 1/2 of the whole zirconium oxychloride production. In addition, a small number of small enterprises in Shandong, the market mixed, the environmental inspection forced Shandong region more than 90% of zirconium oxychloride enterprises shut down devices, production operations, and even stocks are not dare to sell. For a time, the domestic supply of zirconium oxychloride supply market sharply tight, the downstream demand industry had to change the purchase channels, prompting other regions enterprises supply tight, single row positive, take the goods fiery. In addition to the previously reported reduction in zircon sand storage, the price of zirconium oxychloride has risen sharply in just a month. Some businesses said: the environmental inspection epoch-making modified zirconium oxychloride low prices downward in recent years, even leads to lower overall zirconium industry market take the goods actively. Enterprise Description: oxygen zirconium chloride rising 100 yuan / ton per day, no wonder, zirconia rising 1000 yuan / ton per day is not surprising, but also greatly discharged the overall industry stocks.
At the end of 5, the state environmental protection inspection team fought in other parts of Shandong, some large enterprises have resumed production of zirconium oxychloride, but the overall market supply is still narrow, leveraging the upstream zircon sand storage boost, so at the beginning of June zirconyl chloride market still continued to rise in May go situation, but the increase slowed. The business community zirconyl chloride analyst Lu Jie said: the environmental inspection passed, zirconium oxychloride enterprises will continue to resume production, the market supply increases, coupled with the early environmental inspections have been stationed in other major areas, therefore zirconyl chloride later subject to environmental impact. But the state environmental protection inspection to be carried out, on the whole, the excess of zirconium oxychloride production demand given shock, healthy development to production, inventory arrangement is conducive to the overall zirconium industry market, also to ensure the objective interests of many enterprises. At present, the oxygen zirconium chloride market upward trend is obvious, the short-term price is expected to rise to 15000 yuan / ton or more, nearly two months of the main uplink, prices suddenly drop back may be smaller.