Phosphate Market Prices Rise in the First Half of April (April 1–April 15)

April 15th, news

I. Price Trends

According to the commodity market analysis system, as of April 15, the reference average price for 85% industrial thermal process phosphoric acid in China was 8,640 CNY/ton, up 4.25% from the reference average price of 8,287 CNY/ton on April 1.

II. Market Analysis

In the first half of April, the market price of phosphoric acid in China showed a strong upward trend. The price of raw material yellow phosphorus increased, leading to higher cost support, and phosphoric acid companies followed by raising their prices. The operating rates of the companies remained stable, with downstream buyers purchasing according to their needs, and transactions were mainly conducted on a case-by-case negotiation basis.

Market Conditions

As of April 15, the ex-factory price of 85% industrial thermal phosphoric acid in Hubei, China is around 8,600 CNY per ton, and the ex-factory price in Sichuan, China is also around 8,600 CNY per ton.

Cost aspect

In the first half of April, the market price of yellow phosphorus in China showed a strong upward trend. Currently, the market supply is tight, and it is difficult to find low prices, with manufacturers mainly holding firm on their prices. As the price of yellow phosphorus rises to high levels, downstream buyers have started to be more cautious in their purchases. On April 15th, the yellow phosphorus market in Yunnan was consolidating at high levels, with the latest quotation around 30,300 CNY/ton, and actual transactions were negotiated on a case-by-case basis.

III. Future Market Forecast

Phosphate analysts believe that the phosphate market in China has been continuously strengthening recently. The trend of raw material yellow phosphorus is upward, providing strong support on the cost side, with the market mainly driven by rigid demand for replenishment. It is expected that the phosphate prices in China will continue to rise in the short term.

4. Technical Analysis

From the spot commodity market analysis system, it can be seen that the current 10-day moving average of phosphoric acid is above the 20-day moving average, and the market forecast is in line with an upward trend.