Antimony trioxide prices rise in China

BEIJING (Asian Metal) 25 Jun 09 – Antimony trioxide prices rise in accord with the increase of antimony ingot price. Some producers start to quote RMB28,500/t ex works for antimony trioxide 99.5%min and RMB29,000/t ex works for material grading 99.8%min, RMB500/t higher than offers ten days ago, but many consumers find it hard to accept the increased price.
A Hunan-based producer raised the offer by RMB500-600/t to current RMB29,000/t ex works for antimony trioxide 99.8%min with low content of lead and is expected to conclude a few deals at such a price. "Our production cost increases on higher antimony ingot price, so like many other antimony trioxide producers, we lift our quotation for the material," said the source.
According to the source, although consumers understand the reason why producers increase offers, they are not willing to accept the price adjustment. "Nevertheless, we will insist on the current price; otherwise will suffer a loss," said the source. Meanwhile, the source revealed that the company is still fulfilling some contracts signed early this month at around RMB28,000/t ex works.
The source is conducting production according to orders with a monthly output of around 300t for the time being.
Another Hunan-based producer currently quotes RMB28,500/t ex works for antimony trioxide 99.5%min, up from RMB28,000/t ex works in mid-June, but has not concluded any deals so far this week. The source also attributes the markup of antimony ingot to the price increase of antimony trioxide.
Meanwhile, the source confirmed that the antimony trioxide market is not active and producers have difficulty in persuading consumers to accept higher prices. However, the source revealed that regular customers placed slightly more orders in May and June and they sold more products in the second quarter than they did in the first quarter. According to the source, the company is running normally with an output of around 300tpm but at a thin profit.
Meanwhile, a Guangdong-based trader raised the export offer for antimony trioxide 99.5%min to USD4,250/t FOB China early this week from previous USD4,200/t FOB China, for domestic suppliers raised quotations.