【Mysteel Flash News】Ultra-High Power Graphite Electrode Prices Show Weak Performance

This week, China ultra-high power graphite electrode prices trended steady with a slight downward bias, with a week-on-week decrease of 500 yuan/ton. The ultra-high power graphite electrode φ450 is quoted at 20,300-20,800 yuan/ton, while φ600 is quoted at 23,500-24,300 yuan/ton, with less than satisfactory transactions. 

In terms of downstream demand: the average operating rate of 87 independent electric arc furnace steel mills in the country is 76.29%, a decrease of 0.57% from the previous week and an increase of 8.99% year-on-year. Operating rates in South China, Central China, and Southwest China have slightly declined, while East China has seen a slight increase. The blast furnace operating rate of 247 steel mills is 84.30%, an increase of 0.43% from last week and an increase of 5.03% compared to last year; the utilization rate of blast furnace ironmaking capacity is 91.20%, an increase of 0.64% from the previous week and an increase of 6.25% year-on-year. The profit loss of electric furnaces is 178.49 yuan/ton, and the profit loss of blast furnaces is 120.75 yuan/ton. The losses of electric furnaces have increased, and the operating rate has declined. Overall, there is no significant recovery in market demand, and steel mills are deepening their cost reduction and efficiency enhancement goals, posing risks of further downward adjustment in ultra-high power graphite electrode prices.

In terms of raw materials: this week, the price of Jinxi raw coke decreased by 1,150 yuan/ton, Daqing raw coke decreased by 1,100 yuan/ton, and needle coke decreased by 500 yuan/ton. As raw material prices decline, it creates a bearish ultra-high power graphite electrode market. In the short term, China ultra-high power graphite electrode prices are expected to show a weak performance. Contact us for the latest news on graphite electrode industry.