Polarized Magnesium Oxide Market

   At present, the magnesium oxide market shows polarization tendency. The main reason is: the downstream requirement is uneven thermal distribution, the cost remains remain high, downstream export fells and other reasons.

   After the magnesium oxide manufacturers promote operation rates gradually, the lifting speed of rubber, conveyor, tire and other downstream enterprises’ operation rates shows slightly backward. On the whole, the requirements did not attain the performance expected. However, because the requirements of magnesium oxide’s downstream industries is increasing, like medicine, food and so on, the price is also increasing. Therefore, the uneven thermal distribution appeared. It is the primary cause of polarization market.

   According to information, the raw material of magnesium hydroxide and carbonate is in uptrend since last year. After reached a record, it always keeps high. What’s more, there was a contrast market information. That is the magnesium hydroxide and magnesium carbonate rise in price and the magnesium oxide falls after rise. The cost pressure of magnesium oxide manufacturers is growing. It is also one of reason why 20 percent of manufacturers are halting production. In order eliminate the stress of material cost, magnesium oxide suppliers push magnesium oxide price forward steadily at the background of good downstream situation.  

   However, the magnesium oxide afternoon market is expected to slow down. Meishen Technology, a professional magnesium oxide supplier and manufacturer, think that the near-term correction is expected to close to the bottom in the case of price-volume shrunk, the basic unhindered shipment of enterprise and low inventory at present. At the same time, the international chemical market is basic supported and starts to recover step by step. Once the export is opened, and because the society stocky magnesium oxide and related products has consumed a lot at present, it is expected to become a tendency of domestic demand growth with stability. However, it does not exclude short stock of goods in short order.