Rare earth price rises and falls who hurt

02/27/2012 10:05

 

Rare earth market a wave surging after another. Not long ago, the production of rare earth just outbreak tide. In baotou, rare earth smelting separation production enterprise announced after a month, ganzhou rare earth mining company, all mining and smelting separation enterprise are since October 20 began full stop production. A few days ago, and media reports said, rare earth special invoice or will be officially launched in November.

"Rare earth giant is to enter into insured, and production of rare earth special invoice once, no ticket out of rare earth products will be bound by heavy selling, cause rare earth prices. The expected future a rare earth prices will also fall in the situation." The rare earth industry analysts DuShuai ChuanZi-soldiers in accept the China sankei shimbun reporters.

From the beginning of the "crazy rise" and then to three quarters of "the price plunged", rare earth down the price is like a roller coaster. In fact, since the end of 2009 to start a new since the integration, China's rare earth mineral prices and climbed all the way, in this baseball hats year in May, the state council issued the rare earth industry on promoting the sustainable and healthy development of certain opinions ", China's rare earth prices soaring again. However, after late June to early July after market peak, rare earth price in nearly three months, are going down, accumulative total has fallen as high as 30% ~ 50%.

"Big profit caused the market rises and falls." DuShuai soldiers said.

Rare earth price surged to appear tumbling, and the present situation of the development of the industry have a close relationship. In the first half because of good policy, taking the market began to store up goods, so rare earth prices shoot up to all the way. But from June on, rare earth price rain mutations. On the one hand, because ChaoGu capital risk pressures, have to withdraw money selling; On the other hand, a cost pressure, and the market demand atrophy, many rare earth downstream down or looking for manufacturer alternatives.

Then, rare earth price rises and falls will ultimately hurt?

"Rare earth price rises and falls in the middle of the rare earth processing link directly influences the downstream enterprises, such as phosphor manufacturers and rare earth permanent magnet enterprise." DuShuai soldiers said.

In the rare earth prices, rare earth industry downstream is not directly benefit. In the upstream profits encourages under, rare earth industry disconnected from the upstream and downstream of the growing lead to most of the rare earth products marketable no city, eventually crash; And in recent prices continued to slide, rare earth products downstream slack demand, oversupply situation, rare earth industry sales profit instead of direct downstream more thin, they are suffering from soaring gasoline prices under the weight of the after.

For example, since the third quarter, sharply nd-fe-b magnetic material starts shrinking, the industry starts only 30%, part of the permanent magnet plate listed wholesale nfl jerseys company can only rely on smuggling way Di iron raw materials in order to maintain a fire sale the first half performance than expected growth levels.

"As for the downstream demand such as wind power industry, automobile, liquid crystal display and application field, can change the substitute raw materials by looking for ways to reduce the impact." DuShuai soldiers said. For example the downstream terminal of the energy saving frequency conversion air conditioning, the rising prices of raw materials by the push, beautiful, gree and other large air-conditioning manufacturers to dc frequency are raw materials structure adjustment.

Be worth what carry is, of rare earth in China since it is the development of upstream and downstream imbalance and messy competitive situation. Rare earth price rises and falls, also fundamentally reflect industry messy and competition. With this, there are people in the industry say, want to radical price problem, still need to further adjust the industrial structure.

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