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Forecast of China’s graphite electrode exit situation in2020

[vc_row][vc_column][vc_column_text]According to data from Chinese customs on graphite electrode for exit:

China ‘s  graphite electrode exits in November 2019 were 22,600 tons, a decrease of 10.32%

month-on-month, and graphite electrode exits in November were 94.516 million dollars, a month-on-month decrease of 19.88%.

China graphite electrode exit volume and price analysis chart in November 2019

In July 2019, after the exit volume of graphite electrodes in China reached a historic peak, a wave of oscillating downward trend appeared in the following months. A simple analysis has the following reasons:

  • The price of graphite electrodes in China has fallen rapidly, and overseas markets have increased their wait and see;
  • The inventory of ports in the Middle East is severely overstocked, and demand has slowed in the short term;
  • Market news impact: For example, in September, China’s exit of dual-use items and technology import and exit licenses to Iran through Malaysia will no longer be processed. Enterprises that have already obtained dual-use items and technology import and exit licenses can have a total of exit permissions for batches, and will not continue.

On December 16, the US State Department issued an advisory opinion on the exit of graphite electrodes:

Remind relevant parties around the world that exports of graphite electrodes and needle coke to Iran face the risk of US sanctions. However, some traders believe that this news may affect the market mentality in the short term, but in the long run, driven by benefits, if overseas market demand still exists, China ’s graphite electrode exports will remain relatively stable and will not affect Great.

What is your forecast for the export of graphite electrodes in China in 2020, please give us a comment

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