rp 150 graphite electrode

RP 150 graphite electrode is in short supply and the market demand will continue to be strong

The rp 150 graphite electrode market, which declined last year, has already reversed sharply this year. “In the first half of this year, our rp 150 graphite electrode was basically in short supply. The market gap this year is about 100,000 tons, and the tight supply and demand situation is expected to continue. The supply of rp 150 graphite electrode is in short supply. It is understood that since January this year, the price of rp 150 graphite electrode has continued to rise. From about 18,000 yuan/ton at the beginning of the year to about 64,000 yuan/ton at present, an increase of up to 256%. At the same time, needle coke, the main raw material of rp 150 graphite electrode, has become more and more popular, and the price has risen all the way, up by 300 from the beginning of the year. % Above. Downstream steel companies have strong demand. The rp 150 graphite electrode is mainly made of petroleum coke, needle coke, and coal tar pitch as the binder, and is made by calcination, batching, kneading, pressing, roasting, graphitization, and mechanical processing.

Mainly used in electric arc steelmaking furnaces, submerged arc furnaces, resistance furnaces, etc. The rp 150 graphite electrode accounts for 70%-80% of the total steelmaking rp 150 graphite electrode. In 2016, due to the downturn in electric arc furnace steelmaking, the overall profitability of carbon companies declined. According to statistics, the total sales of China’s rp 150 graphite electrode fell by 4.59% in 2018, and the top ten rp 150 graphite electrode companies lost 222 million yuan. In order to maintain market share, carbon companies are engaged in a price war. The decrease in the selling price of rp 150 graphite electrode is much larger than the decrease in cost. This situation has been reversed this year. With the deepening of supply-side reform and the continuous heating up of the iron and steel industry, as well as the thorough cleaning and transformation of “floor steel” and intermediate frequency furnaces, the demand for furnaces by iron and steel companies has increased sharply, driving the demand for furnaces. Lafayette rp 150 graphite electrode. The annual demand is estimated to be 600,000 tons.

At present, there are more than 40 companies in my country with a production capacity of more than 10,000 tons of rp 150 graphite electrode, with a total production capacity of about 1.1 million tons. However, due to the impact of environmental protection supervision this year, the production of rp 150 graphite electrode in Shandong, Henan and other provinces is in a production restriction and suspended state. It is estimated that the annual output of the rp 150 graphite electrode is about 500,000 tons. “The increase in enterprise production capacity cannot solve the market gap of about 100,000 tons.” Ning Qingcai said that the production cycle of rp 150 graphite electrode products is generally more than two or three months, plus the backup cycle, it is difficult to release in the short term. Carbon companies have cut production and stopped production, but steel companies’ demand continues to increase, causing rp 150 graphite electrode to become a hot commodity in the market, and its price has been rising all the way. The current market price has increased by 2.5 times compared with January this year.

Some steel companies must pay in advance for the goods. Industry insiders say that compared with blast furnaces, electric furnace steel is more energy-efficient, environmentally friendly, and low-carbon. As our country enters the scrap steel depreciation cycle, electric furnace steel will get greater development. The proportion of electric furnace steel in total steel output is expected to increase from 6% in 2016 to 30% in 2030. The demand for rp 150 graphite electrode will still be great in the future. It is understood that the current rp 150 graphite electrode manufacturer, Fonda Carbon has a production capacity of 165,000 tons, accounting for about one-third of the market. Due to the tight supply of rp 150 graphite electrode and the price increase, the company’s performance in the first quarter of this year bottomed out, an increase of 566.55% over the previous year. The price of upstream raw materials rose steadily, and the price increase of rp 150 graphite electrode quickly spread to the upper reaches of the industrial chain.

Since the beginning of this year, the prices of major raw materials such as petroleum coke, coal tar pitch, calcined coke, and needle coke have continued to rise, with an average increase of more than 100%. The head of Fangda’s carbon procurement department described it as a “surge.” The person in charge said that on the basis of strengthening market forecasts, the company has adopted measures such as choosing low-cost acquisition opportunities and increasing inventory to cope with price increases and ensure production, but the growth of raw materials has far exceeded expectations. Among the raw materials, needle coke, as the main raw material of rp 150 graphite electrode, has the largest price increase, with a maximum increase of 67% in one day and more than 300% in half a year. It is understood that needle coke accounts for more than 70% of the total cost of the rp 150 graphite electrode. The raw material of the ultra-high-power rp 150 graphite electrode is needle coke, and the ultra-high-power rp 150 graphite electrode consumes 1.05 tons per ton. Needle coke can also be used in lithium batteries, nuclear power, aerospace and other fields. Needle coke is a scarce product at home and abroad. Most areas of our country rely on imports, and prices remain high. In order to ensure production, rp 150 graphite electrode companies have purchased one after another, causing the price of needle coke to rise. It is understood that there are few needle coke manufacturers in China. At present, Fangda has a large carbon production capacity of 60,000 tons, self-sufficient 30,000 tons, and exports 30,000 tons. Yongdong Company is gradually implementing the needle coke project with an annual output of 40,000 tons, and the upper-stage asphalt processing project has been put into operation. Baotailong has completed a project with an annual output of about 50,000 tons of needle coke. Shanxi Coking Company also plans to build a needle coke project with an annual output of 100,000 tons. Industry insiders believe that price increases seem to be the mainstream voice. Although the profits of some raw material manufacturers have greatly improved, the market risks and operating costs of downstream carbon companies are further increasing.