Attentive friends may discovered, the vegetables’ price are way up. Everyone grumbles that we can’t afford vegetables. As a matter of fact, the prices in other industries are also fluctuating, for example, magnesium oxide. Magnesium oxide is an important chemical raw material. Therefore, how about the price trend of magnesium oxide in 2016?
The price of magnesium oxide is way up in 2016. It is closely related to international raw oil price trend in this time. In the near future, the international raw oil price presents rebound trend. It effects chemical products’ upstream industries, the price of a serious products also rose with it, like magnesium oxide.
Besides the cause of rising cost, most of magnesium oxide enterprises are cutting capacity and de-stocking ever last. However from this year, many magnesium oxide enterprises raise efficiency and recover normal production condition step by step. Because of it, the market demand is increasing further. It lead to surplus market transform to supply tight gradually. There is no doubt that it drives magnesium oxide’s price rising further.
Whether the magnesium oxide industry recovering or not, it is not look beyond price, but the market demands. This rise in price is leaded by cost increase. Within the overall context of magnesium oxide industry’s huge overcapacity problem, the outlook of industry recovery is uncertain. Especially after the price rises, the recovery still remains to be seen.
The specialist of Hebei Meishen Technology Co., Ltd points out, “ at present, if magnesium oxide enterprises want to get out of the trouble, it should accelerate technological upgrading and develop differential products. This is the basic condition for the survival.”