In the first quarter of 2017, the overall trend of the magnesium refractory raw materials market in Liaoning Province rose. The market for oversupply, destocking and magnesia prices fell and fell again compared with the end of 2016. The market price is rising and the atmosphere is strong. In the first quarter, the magnesia raw material market appeared out of stock and out of stock. According to industry insiders, the price of magnesium refractory raw materials in Liaoning is currently rising by about 20%, and the supply is in short supply. Enterprises in Liaoning are not easy to quote and release goods because of high price fluctuations. .

The reasons for the increase in the market price of magnesium refractory raw materials in Liaoning Province in the first quarter are as follows:

First, due to the impact of environmental protection pressure, the production of production in Liaoning Province is severe. As early as 2016, due to the country's policy of de-capacity, the production of small-scale magnesia enterprises was restricted, resulting in operational difficulties and the suspension of production. In 2017, especially in Haicheng, the Dashiqiao government adopted a series of environmental protection policies and measures to make most of the production lines of large and medium-sized enterprises in production and semi-discontinuation. In 2016, Yingkou City Environmental Protection Bureau formulated and issued the Notice on Launching the Special Work on Environmental Management of Magnesium Industry in the Magnesium Industry of the City, and set up a special leading group to thoroughly clean up illegal construction projects, implement clean production audits, conduct industry demonstrations, and increase law enforcement. At present, the 525 magnesium products enterprises in the region have basically completed 357 rectifications (including 31 illegal clean-up projects), shut down 130 enterprises, suspended production for a long time, and stopped production 31, and abandoned the industry. 4, relocated one. On February 19, 2017, it was learned from the Environmental Protection Bureau of Anshan City, Liaoning Province that the environmental management of the magnesia industry in Anshan City has been fully covered. A total of 177 magnesia sand production enterprises in Anshan have been inspected, and a number of illegal enterprises have been processed. . The Forestry Bureau of Anshan City, Liaoning Province issued the “Implementation Plan for Strictly Combating the Special Remediation Action of Illegal Mining of Magnesium Mines to Destroy Forest Resources”, requesting that from March 10 to June 10, it will last for three months to crack down on illegal mining of magnesium in Anshan. Mines destroy forest resources special rectification actions".

Second, due to the influence of policies, it is difficult to resume production and reduce production. The procedures and standards for the resumption of production and acceptance of metal non-metallic mines in Liaoning Province stipulate that open-pit mines (including quarries) must meet 29 standards, otherwise they may not resume production. Some mining raw material enterprises are difficult to reach the standard, which greatly reduces mining, resulting in a shortage of supply of magnesium refractory raw materials in Liaoning Province.

Third, the news that the state has lifted restrictions on the export quota of magnesia has caused many magnesia enterprises to increase their confidence in the market. Since January 1, 2017, the Chinese government has officially cancelled the export tariffs for re-calcined magnesia, fused magnesia and light-burned magnesia (previously burned magnesia and fused magnesia tariffs of 10%, light burnt magnesia The tariff is 5%), and the implementation of the magnesia export quota system for nearly 20 years has been cancelled (the transaction cost of the previous export quota is about 260-350 yuan/ton).

Fourth, the major downstream industries rebounded slightly, which is good for the refractory market. In 2016, the output of crude steel, cement, flat glass and non-ferrous metals in the major downstream industries increased slightly, increasing by 1.2%, 2.5%, 5.8% and 2.5% respectively. Crude steel, cement and glass production reversed the downward trend in 2015. In 2016, the prices of major downstream industries showed an upward trend.

The future magnesium raw material market will oscillate at a high level. With the continuous improvement of corporate environmental protection indicators and the launch of new environmentally friendly kiln, it is expected that some enterprises will resume production in April or later, and the phenomenon of shortage will be alleviated, but the government’s environmental protection efforts are far beyond imagination. It is expected that the price will not fall too much. According to industry insiders, the price of magnesium products is expected to rise due to the increase in the price of magnesium raw materials, and the price of magnesium raw materials will run smoothly at a relatively high level after a small oscillation.