Domestic calcium carbide high volatility market outlook bullish

The reporter learned from major calcium carbide production companies in China that since mid-June, the domestic market for calcium carbide has fluctuated at a high level and the price has not changed much from the previous period. The market outlook is expected to rise slightly.
At present, the ex-factory prices of calcium carbide enterprises in Inner Mongolia, Ningxia, Hebei, and Shanxi are maintained at 3,300-3,600 yuan (t price, the same below), and prices in some regions have slightly declined. In respect of raw materials, the price of blue carbon and coke still rose slightly, but the rate was small. The lower limit of the purchase price of blue carbon in each region is from RMB 1,100 to 1,300, the upper limit is from 1,700 to 1,800 yuan, and the price of coke is from 2,100 to 2,200 yuan. The price of calcium carbide delivered in East China, North China and South China remained stable, but the purchase of calcium carbide in Shandong and Henan remained tight. Downstream PVC prices continue to stabilize, the operating rate is low, calcium carbide demand is flat. High-priced calcium carbide is still strongly resisted by downstream companies. Affected by the earthquake, the start-up of calcium carbide enterprises in Sichuan was poor and the supply of coke for raw materials was still in short supply, which led to the slow delivery of the local downstream PVC market and difficulties in procurement.
According to reports, the major factors driving the post-market sentiment of calcium carbide include: First, the national environmental protection governance continues to tighten. The lime kiln and small coke are gradually shut down in the northwest region. The prices of raw materials for white ash and coke will continue to climb. In addition, coal resources continue to show a trend of shortage. The price increase is still serious, and the production of blue carbon and coke is generally low, and the cost of purchase of calcium carbide enterprises has increased. Second, some calcium carbide production areas, such as Inner Mongolia and other places, continue to be tight, and the resistance of calcium carbide to Hebei and Tianjin is still large. The reduction in the supply of calcium carbide will lead to local prices rising. The East China and South China markets are similar to those in North China. The obstruction of the supply of goods will cause the shortage of calcium carbide.
Predicted market outlook, the price of calcium carbide in North China will be between 3,800 and 3,900 yuan, the market price in East China is between 3,800 and 4,100 yuan, and the market price in South China is between 3,900 and 4,000 yuan.

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