Overview

In February, the domestic graphite electrode market rose strongly, under the domestic Winter Olympics environmental protection production restriction along with the situation in Russia and Ukraine, the price of raw materials increased significantly, the domestic petroleum coke and needle coke increased by 1000 yuan, and there is still a rise in the late expected. In terms of supply, Henan's supply has eased compared with the previous period. Hebei, Shanxi, Shandong and other places still continue to stop and limit production, and the market supply is blocked. Affected by the supply and cost, the domestic graphite electrode increased by 2000 yuan/ton in February, especially the increase of ultra-high power graphite electrode and high power graphite electrode. In March, with the easing of environmental protection and production restriction during the Winter Olympics, downstream blast furnaces and electric furnaces started to resume construction, graphite electrode market demand will further improve. The following March, in the game of weak supply and strong demand, what will happen to graphite electrode Market? The author expounds one by one from the following aspects.

Macro market

1. Crude steel output decreased both at home and overseas

In January 2022, the crude steel output of 64 countries included in the statistics of Worldsteel Association was 155 million tons, down 6.1% year on year. According to CISA data, in the first ten days of February key steel enterprises daily crude steel output was 1.9235 million ton, down 4.47% month on month; In mid February, key steel enterprises crude steel average daily output was 1898900 tons, down 1.28% month on month.

2. Domestic iron and steel projects start production, investment and resumption increased

According to incomplete information, in February 2022, 18 steel projects were started, put into operation and resumed production in China. Among them, 10 iron and steel related projects such as Hunan Valin Lianyuan Iron and Steel, Baosteel Zhanjiang Iron & Steel, Fujian Longgang Enterprise Group and Hesteel Group Handan Iron and Steel have started construction; Resumption of production of Yongxing special steel and Angang iron and steel projects have resumed production; Xiangtan Iron and Steel, Anhui Changjiang Steel, Zenith Steel and Gaoyi iron and steel and other projects were put into operation.

3. The situation between Russia and Ukraine shocks the chemical industry

The war between Russia and Ukraine led to a sharp rise in international oil prices, with Brent crude briefly breaching the $100 mark, a new high since September 2014, reading more graphite market news contact us.