With the recent rise in the price of raw materials, graphite electrode manufacturers are considering the cost and profit, especially the overall profit of the graphite electrode industry is still in a state of loss, graphite electrode manufacturers collectively open the price-up mode
As of August 17, the mainstream quotation of UHP450mm specifications on the market is 16500 yuan / ton, UHP600mm specifications is 19500 yuan / ton, and UHP700mm is 23500 yuan / ton.
From the supply side
Since May, graphite electrode enterprises have been forced to limit production under the pressure of losses, and the output of graphite electrode enterprises has continued to shrink. The current operating rate of the graphite electrode industry is about 50%.
From the perspective of demand
Although the current graphite electrode industry is still in the off-season cycle of traditional demand, with the arrival of the peak demand season of “Gold Nine Silver Ten”, the policies of superimposed stimulation of domestic demand and output leveling control have landed one after another, stimulated by rising prices. It is expected that there will be periodic rigid demand replenishment in the lower reaches of September.
After entering the fourth quarter, under the background of macro expected repair and increased policy support, the market’s expectation of steel demand has been repaired, and the recent EAF steel plant demand is still in a weak state, mainly due to seasonal high temperature and Rain Water inhibition. It is expected that from September, the influence of seasonal high temperature and Rain Water will gradually weaken, the electric furnace operating rate is expected to gradually usher in the repair, and the trading atmosphere of the graphite electrode market is expected to improve. The price of graphite electrode is expected to rise.
Post time: Aug-21-2023