Recently, the price of graphite electrode in China has been rising continuously, with various types of graphite electrode rising in a range of 10% to 15%. Graphite electrode supplies are tight again.
The main reason for the increase in graphite electrode prices is the substantial increase in production costs. Specific performance in the following aspects:
01 Raw materials continuously up.
Petroleum coke enterprise factory price increases substantially.
02 China’s power rationing extends.
Various regions in China have increased efforts to protect the environment. Graphitization processing of graphite electrode is a big consumer of electricity. The Chinese government has limited power and production of graphite electrode factories, and many factories have stopped production. Affected by this, graphitization processing costs are also rising.
Current situation of graphite electrode market:
Due to the continuous rise of raw material prices, graphite electrode production cycle is long, increasing the risk of manufacturers taking goods, and the current inventory of mainstream graphite electrode manufacturers is still the previous low-cost products, So they started restricting sales. Some traders have been stockpiling goods.
Future forecast:
Near term electricity situation should continue, raw material prices will remain high, graphite electrode market still has room to rise.
Post time: Oct-25-2021