The silicon carbide grit price in March 2022

The silicon carbide grit price in March 2022

From the end of February 2022, the price of the raw materials for silicon carbide anthracite and petroleum coke has raised. The price increasing rate is about 65-80 USD per ton. So the price of silicon carbide grit and silicon carbide powder has also been raised. In China, silicon carbide manufacturers are considering raising prices in the near future.


There are several factors that influence the silicon carbide grit price:

  1. The market price rises after the festival

In late February, with the rise of anthracite coal and petroleum coke, the raw materials for silicon carbide production, the production cost increased by more than 80 USD per ton, and the increase in the electricity bill settlement price added to the production pressure of enterprises. 1520 USD per ton. Subsequently, the price in Ningxia increased. As of the 28th, the average price of the two markets was flat, and the first-grade silicon carbide blocks were both 1480 USD per ton.


  1. The market supply is tight

Since the power cut and production shutdown in September last year, the overall operating rate of the silicon carbide industry has remained below 50%, which is at a historically low level. The following three reasons are summarized:


  • Affected by the general environment, the demand of downstream enterprises such as steel and cement is not prosperous.
  • There is energy consumption and environmental protection management and control of the silicon carbide industry. So some enterprises were forced to stop production and rebuild.
  • The price of raw materials and fuels fluctuates greatly, it is difficult for enterprises to control the market. As a result, silicon carbide manufacturers are bearing the risk of less profit.


According to the survey, the overall operating rate of silicon carbide in February was 41%, down 3 percentage points from the previous month, and the output was 74,200 tons, down 4% from the previous month. The main production area of ​​silicon carbide raw blocks is in northwest China. In March, the northwest region will usher in a number of high-energy-consuming enterprises to stop production and rectify the plan, and it is expected that the production capacity will be slightly affected.


  1. Downstream demand gradually recovers

In mid-February, the blast furnace operating rate of iron and steel enterprises showed an inflection point, rising from a low of 68.19% to 73.44%. The demand for pre-iron refractories has gradually recovered, the purchase orders of refractory products companies have gradually increased, and silicon carbide companies have ushered in a good time to ship after the festival.

In addition, the Russian-Ukrainian conflict in March led to problems in the supply of silicon carbide in Ukraine. Originally, European users in the abrasive tool and ceramic industry mainly purchased from Ukraine. In March, they turned to China for supply, and the demand further increased.


  1. Summary and Forecast

March brought new opportunities and challenges to the silicon carbide industry: downstream demand gradually increased, and the market accelerated; high costs drove prices higher, downstream procurement was cautious, and market competition was fierce. In this case, Haixu Abrasives will better serve customers and meet the needs of our customers. And, we will try our best to provide stable quality silicon carbide material and delivery time.

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