Phosphate Market Prices Slightly Decline (9.22-9.26)

September 26, News

1. Price Trends

The price of gold is 3759.40, with an increase of 11.27. The price of London Silver is 46.04. The price of Gold T+D is 858.30, with an increase of 6.64. The price of Silver T+D is 10878.00, with an increase of 385.00. The spot gold price is also 3759.40, with the same increase of 11.27.

According to the commodity market analysis system, as of September 26, the reference average price for Chinese industrial-grade thermal phosphoric acid with 85% content is 6,670 CNY per ton, compared to the reference average price of 6,690 CNY per ton on September 22, showing a 0.30% decrease in the market price of Chinese industrial-grade thermal phosphoric acid

II. Market Analysis

Market Aspects

This week, China's phosphate market prices saw a slight decline. As of September 26, the ex-factory quote for 85% thermal-grade phosphoric acid in Hubei province was around 6,400–6,800 CNY per ton, while in Yunnan province it stood at approximately 6,450 CNY per ton. In Sichuan province, the ex-factory price for 85% thermal-grade phosphoric acid ranged from 6,300 to 6,700 CNY per ton.

Cost Aspect

Regarding yellow phosphorus raw materials, the market price has declined this week. Currently, trading activity in the yellow phosphorus market is sluggish, with fewer inquiries from downstream buyers and a preference for lower-priced purchases. As the holiday season approaches, manufacturers may cut prices to ease inventory pressure and boost sales. Consequently, yellow phosphorus prices are expected to remain weak in the near term.

III. Market Forecast

Phosphate analysts note that the phosphate market has recently been trending weaker, with prices declining. The price of yellow phosphorus, a key raw material, has been reduced, weakening cost support. As a result, phosphate market prices are following the downward movement of raw material costs, and trading activity remains sluggish. Overall, the Chinese phosphate market is expected to remain in a weak, consolidating phase in the near term.