Potassium sulfate market: three aspects lead to a weak trend

The price of potassium sulfate is mainly stable. According to the monitoring of information agency Baichuan Yingfu, the current mainstream ex-factory price of Mannheim potassium sulfate 50% powder is around 2400-2600 yuan, and the ex-factory price of 52% potassium sulfate is around 2500-2700 yuan, with a preferential margin of 50-100 yuan. The mainstream price of potassium sulfate in the Qinghai salt system is around 2300-2350 yuan. The transaction is limited, and the actual transaction can be discussed.

There are three main reasons for the weak trend of the Potassium sulfate market. First, the previous price decline was not large. When the price of potassium chloride fell sharply in the previous period, the price of potassium sulfate did not follow the sharp drop. Therefore, the price of Potassium Chloride rebounded this time, and the price of potassium sulfate did not increase significantly.

Second, the operating rate of Mannheim potassium sulfate enterprises is relatively high and the market supply is sufficient.

The third is the lack of exports. According to national customs statistics, from January to July this year, my country exported 223,000 tons of potassium sulfate, down 3.1% year-on-year. The renminbi has appreciated sharply recently. The exchange rate of the renminbi against the US dollar has risen from about 7.1 in the previous period to the current 6.77, which is detrimental to the export of potassium sulfate. The export price of potassium sulfate is around US$400, and every 0.1 yuan appreciation is equivalent to reducing export profits by 40 yuan. The greater the appreciation, the less conducive to exports.