Calcium Metal Price in the Chinese Market

What is the current price of metal calcium in the Chinese market? Why has the price of metal calcium dropped recently? What is the price trend?

Calcium Metal Price in the Chinese Market

2022 Metal Calcium Price

In 2022, China’s calcium metal prices experienced large fluctuations in January and March. After a stable period in April and early May, they continued to decline in the second week of May. The decline in calcium metal prices continued into early June.

At present, China’s calcium metal manufacturers are under increasing pressure on shipments, and quotations continue to decline. There are also some factories where the market is relatively chaotic, and they stay on the sidelines, and prices remain stable.

At present, the mainstream quotation of the metal calcium crude calcium market is ￥23000-24000 yuan/ton, and the mainstream quotation of the metal calcium wire market is ￥26000 yuan/ton, and the actual transaction price is slightly lower. Due to frequent fluctuations in the price of metal calcium, the price of metal calcium fluctuates violently, and the high-priced raw material inventory of some downstream core wire enterprises has not been exhausted, so the loss is intensified and the operation is difficult.

Reasons for price fluctuations of metal calcium

1. Supply and Demand： China is a major producer of calcium metal, and calcium metal enterprises are mainly concentrated in inland provinces such as Henan and Shanxi. From the beginning of 2022 to the present, the epidemic situation in China’s inland provinces has been well controlled, enterprises have been operating steadily, and the country has vigorously supported the manufacturer with low-interest loans, and tax relief in order to recover the economy. In the Chinese market, calcium metal overcapacity, while domestic downstream demand is weak.
2. Affected by the epidemic; The export of metal calcium was affected by the epidemic. The Shanghai epidemic that started in late March lasted for nearly two months and eased in mid-to-late May. Calcium metal products are different from general ferroalloys, such as ferrosilicon, ferrochromium, ferromanganese, silicon manganese, etc., which can be exported through Tianjin Port, Qingdao Port, and Shanghai Port. Because calcium metal is a live metal, it is dangerous and can only be shipped from Shanghai Port. During the epidemic, Shanghai Port was blocked, and under the semi-blockade situation that the epidemic eased, the port miscellaneous charges of Shanghai Port soared by 2-3 times, causing the transportation cost of metal calcium to surge. Therefore, the price of metal calcium stabilized at a relatively high level in April and May. Due to poor transportation, many customers in Russia, Japan, and South Korea have diverted orders, exacerbating the situation that the supply of metal calcium in the Chinese market exceeds the ball. From mid-May, the price of metal calcium continued to decline.
3. Market confidence: China’s calcium metal is mainly exported to Russia, Japan, South Korea, India, and other countries. Due to the impact of the Russian-Ukrainian war, the global ferroalloy market is uncertain. And due to the particularity of metal calcium products (packaging in iron drums and needing to be sealed with argon for storage, special warehouse storage is required). Argon gas needs to be supplemented for three months in winter, and shorter in summer. Due to the high cost and high risk of stockpiling, metal calcium traders rarely stock up metal calcium, and manufacturers generally do not stock too much due to capital pressure and storage pressure, which leads to eagerness to lower prices in order to obtain orders, resulting in the price of metal calcium trampled drop.

The Calcium Metal Price Trend

At present, although the demand is not good, due to the support of raw material costs, it is expected that the downside of metal calcium will be limited. Both the suppliers and the buyers are wait-and-see, focusing on the price of calcium metal in the second week of June, which will direct the up and down of calcium silicon price.

Global Calcium Metal Market

Metal calcium mainly includes lump, granular, and chip shapes, among which metal calcium particles are mainly used to produce metal calcium cored wire. It is used in the production of high-purity steel and steel sheets, and the main alloy is silicon-calcium alloy.

The world’s major calcium metal manufacturers are mainly concentrated in China and Mexico. South Korea and Japan have a small amount of output, and the United States, Canada, and France have reduced or stopped production due to environmental concerns.

Russia is a big consumer of metal calcium. There are hundreds of patents for adding metal calcium to the steelmaking process. Although Russia also produces metal calcium, some metal calcium is imported from abroad.

Although India and Turkey also need to import calcium metal, they are often traders and the end-users are mostly European countries.

In 2022, the production capacity of metal calcium in my country has exceeded 200,000 tons, and the output of metal calcium in 2022 is expected to be nearly 200,000 tons.