For the Quarter Ending March 2024
North America
Fluorspar pricing in the North America region for Q1 2024 has been characterized by mixed trends and fluctuations. Overall, the market has experienced a bearish sentiment, with prices declining in January and February before rebounding slightly in March. The decline in prices can be attributed to weak demand from the construction sector, particularly in Mexico, where the market saw the maximum price changes.
Factors such as reduced activity during the winter season and sluggish inquiries from the downstream construction and refrigerant industries have contributed to the decrease in demand for Fluorspar. Additionally, the oversupply of Fluorspar in the market and the destocking season have intensified competition among suppliers, leading to price reductions.
On the supply side, the availability of Fluorspar has been moderate, with operating rates of manufacturing firms not fully rebounding. However, concerns over shipping disruptions in the Red Sea and the rerouting of vessels have added to supply-side pressures. Looking at the price changes within the quarter, prices decreased by 4.5% in February before increasing by 2.4% in March. This indicates a somewhat volatile pricing environment, with fluctuations driven by demand and supply dynamics. In Mexico specifically, the price of Fluorspar at the end of the quarter was USD 435/MT.
APAC
The pricing environment for Fluorspar in the APAC region during Q1 2024 has been negative overall. The market has been influenced by various factors that have led to a decline in prices. In general, there has been a lack of demand from the downstream industries, particularly the construction and refrigerant sectors. This has resulted in lower inquiries and reduced market activity, leading to bearish market sentiments. Additionally, the Spring Festival holidays have further dampened demand, with construction activities halted during this period. The operating rates of Fluorspar manufacturing firms have also been under pressure, further impacting supply.
In China, which has seen the maximum price changes, the situation is similar. Weak demand from the construction sector and low inquiries from the hydrofluoric acid industries have contributed to the bearish market sentiments. The market transactions have primarily been based on immediate requirements, and manufacturers have been forced to lower their prices in response to weak demand and limited buying interest.
However, in March, the prices of Fluorspar have improved. Amid limited supplies of the finished goods, the demand from the downstream refrigerant industries has also picked up, strengthening the market fundamentals of Fluorspar. As a result, Major Fluorspar producers have implemented price hikes, further contributing to this trend. The latest quarter-ending price for Fluorspar in China is USD 462/MT, Ex Shanghai.
MEA
The pricing environment for Fluorspar in the MEA region during Q1 2024 has been mostly pessimistic, with South Africa experiencing the maximum price changes. Several factors have influenced market prices, including weak demand from the downstream construction sector and sluggish inquiries from the Hydrofluoric Acid industries. This has led to an oversupply of Fluorspar in the market, as producers have struggled to offload their inventories at previous levels. As a result, manufacturers have been compelled to lower their prices to stimulate buying interest and clear excess stock.
The typical winter slowdown in construction activity has exacerbated the market's sluggishness, prolonged the oversupply scenario and placed downward pressure on prices. In terms of supply, the availability of Fluorspar has been moderate, with operating rates of manufacturing firms not fully rebounding. However, mining production in South Africa has shown some improvement, easing supply concerns. In March, The rise in inquiries from the downstream Refrigerant industries has led to bullish Fluorspar market sentiments.
Looking at the overall trends, seasonality has played a role in the price changes, with the first half of the quarter experiencing a decline in prices compared to the second half. The latest quarter-ending price for Fluorspar in South Africa is USD 450/MT, Ex-Durban.
For the Quarter Ending December 2023
North America
In Mexico, the prices of Fluorspar have demonstrated a volatile trend in the fourth quarter of 2023. Firstly. the market was primarily driven by increased demand from the downstream construction sector and inquiries from the US market. The limited availability of finished Fluorspar stocks further contributed to the upward trend in prices.
The Mexican market saw a particularly significant impact, with inquiries from the downstream construction and Hydrofluoric Acid industries rising. The availability of Fluorspar in Mexico was adequate to meet the demand from the downstream manufacturing firms. However, the low operating rates of these firms and a slowdown in mining activities at the end of year 2023, have increased the supply-side pressure.
The prices of fluorspar have plummeted in the domestic market of Mexico. The weak demand from the downstream construction sector in Mexico has contributed to a reduction in the prices of Fluorspar. Amidst the winter season, the inquiries from the refrigerant industries were also observed to be insufficient to drive the price realizations of fluorspar on the higher side. Consequently, to stimulate buying interest and clear excess stock, suppliers have been compelled to lower their prices. The price of Fluorspar in Mexico at the end of the quarter was USD 440/MT.
APAC
Fluorspar pricing in the APAC region during the fourth quarter of 2023 was influenced by several key factors. First, there was limited availability of Fluorspar stocks due to a decline in mining activities in the Chinese region. This resulted in manufacturers raising their offers to secure higher profit margins. Additionally, the demand from the downstream construction sector improved, further supporting the upward trend in prices. Furthermore, the availability of raw materials for Fluorspar production was affected by safety accidents in Fluorspar mines, leading to a shortage of Fluorspar ore and a lack of raw materials for downstream Hydrofluoric Acid production. The impact of typhoons Haikui and Khanun also disrupted port operations, causing delays in the shipment of Fluorspar. China experienced the most significant changes in Fluorspar prices during this quarter. The country saw a bullish market situation, with moderate supply and moderate to high demand. In terms of price performance, there was a 2% increase in prices compared to the previous quarter. The price of Fluorspar in China at the end of the fourth quarter was USD 500/MT, Ex Shanghai. This represents a 19% increase compared to the same quarter last year.
MEA
Fluorspar pricing in the MEA region during Q4 2023 was influenced by several factors. Firstly, limited mining activities resulted in a supply-demand gap, leading to higher prices. Additionally, increased inquiries from the downstream construction sector further strengthened market sentiments and prompted manufacturers to raise prices. The availability of finished stocks was also limited, adding to the upward pressure on prices. South Africa, in particular, experienced significant changes in prices. The country's mining production decreased, impacting the supply of Fluorspar in the domestic market. The ongoing issue of load-shedding also affected the manufacturing sector and eroded profitability. In December, additionally, amidst the ongoing destocking season the businesses adjusted their inventory levels to align with lower demand, the resulting oversupply situation has led to intensified competition among suppliers, prompting them to lower prices to remain competitive. However, prices in South Africa saw a 6% increase compared to the same quarter last year. There was a 4% decrease in prices from the previous quarter, reflecting market fluctuations. Moreover, the price comparison between the first and second half of the quarter showed a 6% decrease. Overall, the latest price of Fluorspar Ex-Durban in South Africa for Q4 2023 is USD 455/MT.
For the Quarter Ending September 2023
North America
In Mexico, after witnessing a bearish run in early Q3, the prices of Fluorspar have remained buoyant throughout the second half of the third quarter of 2023. construction companies are now facing inflation, higher interest rates, and severe labor shortages as key challenges for the market prospects of Fluorspar. The active demand from the downstream construction sector has boosted market sentiments and prompted the downstream manufacturers to raise the procurement of raw materials, including Fluorspar. According to the National Statistical Agency, INEGI, Mexico's annual inflation rate fell for the 7th straight month to 4.64% in August 2023, from 4.79% in July. Despite economic challenges in the U.S., construction activity has remained robust due to several factors supporting spending in both residential and nonresidential construction, strengthening the demand fundamentals of FLurospar among the manufacturers. As per the market participants, the availability of finished Flurosrpar stocks was relatively limited, prompting the manufacturers to raise their prices to gain profit margins. Therefore, Fluorspar Ex-Mexico prices were observed at USD 435 per ton towards the end of the third quarter of 2023.
APAC
In the domestic market of China, the prices of Flourspar have witnessed mixed market sentiments. As per the market participants, the pace of inquiries coming from the downstream construction sector was relatively low. ressive U.S. interest rate hikes and soft European growth clouded the outlook for global demand for Fluoesapar. The downstream production facilities have been operated at reduced rates as there was already ample availability of the finished goods. The manufacturers were cautious about the high inventory levels, as the tepid economic conditions across the Chinese market have also not subsided. Furthermore, in the second half of Q3, the prices of Fluorspar started to gain momentum. Mining activities have been performing at a slower rate in China amid increased environmental protection guidelines. A shortage of Fluorspar ore led to an increase in Fluorspar prices and a scarcity of raw materials for downstream Hydrofluoric Acid production. In terms of downstream production, the operating rates of manufacturing firms have improved but have not fully rebounded. The data from the National Bureau of Statistics showed that China's factory activity expanded for the first time in six months in September, and its purchasing managers' index (PMI), rose to 50.2 in September from 49.7. The ChemAnalyst database has shown that the Fluorspar Ex Shanghai prices concluded at USD 490 per ton in September.
MEA
In the third quarter of 2023, the prices of Fluorspar exhibited a volatile pattern. In July, the reduction in inquiries from the downstream construction sector deteriorated the market sentiments. Thus, a plunge has been observed in manufacturer's quotations in South Africa. However, the downtrend has been reversed in the next months in the wake of limited mining activities and high operational costs in the domestic market. Market participants have noted that the availability of Fluorspar has been relatively limited to meet the demand from end-use industries. According to statistics published by Statistics South Africa, there was a 3.6% year-on-year decline in mining production during the month of July 2023, exacerbating the supply-side concerns for Fluorspar among the manufacturers. Although economic conditions have strengthened with dropping inflationary pressure and easing energy prices, there has been a noticeable increase in demand from the construction sector. In September, market transactions have shown improvement. Consequently, Fluorspar Ex-Durban prices were settled at USD 475 per ton in Q3-end.
For the Quarter Ending June 2023
North America
The decline in demand from the downstream construction sector has been responsible for the bearish market sentiments for Fluorspar in the domestic market of Mexico in Q2. The inquiries from the downstream Anahydrous Hydroflouric Acid remained average and didn't lead to a significant development in Fluorspar prices this month. As per EIA, After nearly two decades of steady declines, Mexico's petroleum and liquid fuels production has remained stable. In view of environmental protection and to avoid unregulated mining activities, the government has planned to reform its guidelines for manufacturing entities. Furthermore, Grupo Mexico, a conglomerate involved in mining and transportation, saw revenue slip 1.1% in the mining division in Q1 on a yearly basis. Towards Q2-end, The inquiries from the downstream construction sector didn't improve much. As a result, foreseeing the dip in demand, the manufacturers opted for price cuts to encourage new shipments. The offtakes from the downstream Anhydrous Hydrofluoric Acid were also in dire strait, contributing to the downshift observed in the price realizations of Fluorspar. In addition, the weak performance of the US construction sector has further imposed downside risks on the price realizations of Flurospar, as the majority of fluorspar shipments have been accounted for in the US market. Ob the other handa downward trend spurred by a long cycle of rate hikes has resulted in Mexico's annual inflation decelerating in June to 5.06%.
APAC
The prices of Fluorspar have demonstrated mixed market sentiments in the domestic market of China. In the first half of Q2, the prices of Fluorspar has increased. The reopening of the Chinese market has provided fresh momentum to the Asian markets, and as a result, the procurement from the overseas market has escalated. Although, the downstream demand from the construction sector did not contribute much to the market growth of Fluorspar. Furthermore, on the upstream front, the declining costs of input energy materials have prompted the production cost to witness a downtrend. According to statistics released by the China Coal Industry Association, the nation's raw coal output reached 1.15 billion tonnes in the first quarter of this year, up 5.5% from the same period last year, sustaining an increase and fostering the production of various chemicals, including Fluorspar. However, towards late Q2, The operating rate of manufacturing firms was under pressure for the sustenance of market balance as the demand from the downstream construction sector remained subdued. Moreover, In terms of cargo, market sentiments have remained pessimistic, with rates and volumes remaining low on significant trade routes in June.
Middle East
Throughout the second quarter of 2023, the prices of Flurosapr have witnessed volatile market growth in the domestic market of South Africa. The power woes faced by the South African economy have impacted all sectors, from mining to manufacturing, curtailing the profit margins of the manufacturing firms. Load restrictions enforced on the power grid by Eskom's operator and Transnet's efficiency as the nation's railway and port operator were two signs of a reduction in production. In addition, Due to the failure of three mid-sized US banks and Zurich-based Credit Suisse, banks in important advanced economies have scaled back on lending amid persistent financial turmoil, further slowing down the economic activity with South Africa's main trading partners. Overall, the domestic demand from the steel industries has remained adequate, strengthening the market fundamentals of Fluorspar among the manufacturers. Although, the demand for Anhydrous Hydrofluoric Acid has remained average, as reported by market participants. On the other hand, the inquiries from the European Nations were moderate, as the persistent inflationary pressure has impacted their purchasing power. Consequently, Fluorspar Ex-Durban prices were settled at USD 425 per ton in Q2-end.
For the Quarter Ending March 2023
North America
Limited demand from the downstream construction sector has impacted the market fundamentals of Fluorspar in Mexico in the first quarter of 2023. In early Q1, a slight improvement was observed as The tight monetary conditions and the volatility in energy materials costs have pressured the manufacturing activities in the domestic region. The market transactions were average and did not contribute to the upshift observed in Fluorspar costs. However, the prices have started to drop amid sluggish inquiries from the downstream markets. The downstream market players have already replenished their stocks in mid-Q1, which crippled the offtakes in March. Foressing the elevated stocks, manufacturers have reduced their offers. The ChemAnalyst database has shown that Fluorspar Ex-Mexico City prices were settled at USD 410 per ton at Q1-end.
APAC
In the domestic region of China, the price trends of Fluorspar have remained volatile. Following the lifting of the COVID restriction, manufacturing activities were boosted, and as a result, the prices remained at the upper levels in early Q1. The inflows of new orders from the downstream construction have been improved, reported by market participants. After the spring festival holidays, the Flurospar market was sluggish, and The build-up of inventories has pushed manufacturers to reduce their offers to encourage new sales in mid-Q1. Furthermore, toward the end of the first quarter, the accumulation of inventories and rigid demand from the downstream construction sector weakened the market growth of Fluorspar. The costs of transportation of a 20ft container from China to the USA, Saudi Arabia, and the Netherlands were also fallen to a low level. Thus, Fluorspar Ex Shanghai prices were settled at USD 435 per ton in March.
MEA
The prices of Fluorspar have demonstrated mixed market sentiments in South Africa. At the start of the first quarter, the inquiries from the downstream construction sector inched higher and led to an increment in the market value of Fluorspar. Adequate inventories were available to cater to the downstream demand. As per market participants, there was an active movement of goods as no supply-chain constraints were observed. However, load shedding has continued to weigh on the production activities of Fluorspar throughout Q1. Furthermore, the prices dropped in March as The inquiries from the Western markets were also sluggish as the continued inflationary pressures and tight monetary conditions have curtailed the trade activities of Fluorspar. Consequently, Fluorspar Ex-Durban prices were concluded at USD 425 per ton at the end of the first quarter.
For the Quarter Ending December 2022
North America
The prices of Fluorspar increased at a slower pace in the US market in Q4. The intensified inflationary pressures have impacted the price realizations of Fluorspar among the manufacturers, and production costs have been impacted. Domestic inquiries from the refrigerant sector were average and primarily based on need-on-demand. Although there was a decrement in Natural Gas costs, it was high enough to curtail the profit margins of manufacturing firms. In November, the demand from the downstream industries improved, and overall sales stabilized. As per the data, the Purchasing Manager Index was observed to be above 50 points in the Mexican market. Towards the end of the fourth quarter, the manufacturing activities have also expanded. Prices of Fluorspar Ex-Mexico City were observed to be hovering around USD 435 per MT in December.
APAC
In the fourth quarter of 2022, Fluorspar prices have remained on the uptrend. In the first half of Q1 of 2022, the supply of Fluorspar was relatively limited, according to market participants. The logistics and transportation in China's domestic market have been impacted by the stringent COVID-19 regulations. However, the inflows of new orders from the downstream Hydrofluoric Acid and refrigerant market were sufficient to cause a rise in manufacturer's quotations. Furthermore, the market value of Fluorspar escalated in November, as some mining enterprises have also stopped mining amid the winter seasons. Towards the end of Q4, the downstream market stabilized, and Fluorspar Ex Shanghai prices were settled at USD 450 per MT.
MEA
In South Africa, the prices of Fluorspar have demonstrated mixed sentiments in the fourth quarter of 2022. The market participants have reported that the domestic demand from the refrigerant industry was sufficient. However, sluggish inquiries from overseas markets, along with raging inflation and volatile economic situations, have weighed on Fluorspar's market sentiments among manufacturers. The inventory conditions were optimum in the domestic region, and the pressure on the supply side of Fluorspar has eased. In December, demand from the downstream steel and refrigerant market remained on the lower end. The downstream purchases were not sufficient to support the market rise of Fluorspar. The ChemAnalyst database has shown that Fluorspar Ex-Durban averaged USD 420 per MT at Q4-end.
For The Quarter Ending September 2022
North America
In the third quarter of 2022, the price trend of Fluorspar has demonstrated an upward trajectory in the domestic region of Mexico. The hiked interest rates by US Federal reserves have led to inflation and input shortages, hindering the growth across the Mexican manufacturing sector. However, Fluorspar's escalated market values have curbed the downstream refrigerant sector's purchasing power. The port congestion at US Gulf Coast in mid-Q3 has further caused volatility in the price-value chain of Fluorspar and its derivatives. Furthermore, the manufacturers have raised their quotations for the terminal sector to protect their profit margins. In September, demand from downstream Anhydrous Hydrofluoric Acid improved and caused a substantial rise in Fluorspar offers. Therefore, Fluorspar Ex-Mexico prices were assembled at USD 420/MT in Q3-end.
Asia Pacific
Fluorspar prices have remained buoyant throughout the third quarter of 2022 in China. The stringent environment protection guidelines have hampered the supply-side operation rate at mining firms, inflicting the price realizations of Fluorspar to an uptrend in the domestic region. The National Bureau of Statistics (NBS) has reported that the industrial output, including mining, manufacturing, and utility sectors, increased by 3.8% in July. In August, the declining values of Crude oil reduced the operating costs of Fluorspar. Additionally, the intense heat waves caused power shortages in Sichuan and Chongqing and disrupted Chinese trade. However, towards the end of the third quarter, the positive growth in the demand for downstream refrigerants and EV vehicles boosted the market dynamics of Fluorspar among the manufacturers. Prices of Fluorspar Ex Shanghai were settled at USD 402/MT in September.
MEA
In the domestic region of South Africa, Fluorspar prices have been on an uptrend. The ChemAnalyst database has shown that the price offers have escalated by 5.2% in Q3-end compared to the June prices. The strengthening downstream demand has pushed Fluorspar prices on a bullish run. The rate of input price inflation amid the volatile economic conditions has translated into a steep increase in output prices. Furthermore, the Purchasing Manager Index (PMI) dropped in September, and extensive power cuts weighed on production. The market players have reported that the new sales order declined amid the uplifted prices brought on by global economic challenges. As a ripple effect, Fluorspar Ex-Durban prices averaged USD 405/MT at the end of the third quarter.
For the Quarter Ending June 2022
North America
The price trends of Fluorspar have demonstrated a downtrend in their market values throughout the second quarter. In Mexico, the decelerated economic growth and supply chain bottlenecks brought on by Russia's invasion of Ukraine have further supported the bearish market sentiments for Fluorspar in the regional market. In addition, the tight monetary policy imposed by the Federal Reserve to combat inflation has also remained a headwind for the Mexican economy. Furthermore, Mexico's downstream manufacturing sector for refrigerants has also slowed down, owing to plummeting demand for downstream Hydrofluoric Acid, provoking downward pressure on the price realizations of Fluorspar. As a ripple effect from Q1, observed costs, Fluorspar's price offers have decreased nearly 5% towards the end of the second quarter.
APAC
During the second quarter of 2022, the Fluorspar price offers demonstrated mixed market growth. In the first half of Q2, the Fluorspar market expanded owing to active inquiries from downstream Hydrofluoric Acid in China. The stringent lockdown restrictions in China have severely hampered trade activities. The halted production in the domestic region has exacerbated the supply-side concerns for domestic and international inquiries. The western players were hesitant to procure the Russian cargoes amidst the sanctions, and the players were eyeing the Asian suppliers, pressuring the supply outlook across the Asia-Pacific region against the ongoing peak season of the refrigerant industry. Thus, the curtailed availability and robust demand from the downstream market have pushed Fluorspar's price realizations to demonstrate a surge of nearly 4.5% in Q2.
MEA
The Fluorspar market has contracted in South Africa in the second quarter of 2022. The dampening effect of high inflation has substantially pressured the spot offers of Fluorspar in the domestic market. The Zero COVID policy in China has offset the production capacities of major enterprises, leading to reduced imports from South Africa. As a result of tumbling inquiries from the international market, the domestic manufacturers were compelled to reduce their quotations to maintain equilibrium between supply and demand. In addition, the sluggish demand from the downstream refrigerant sector has propelled the weak market sentiments for Fluorspar and undermined the market value among the traders. Furthermore, the prices of downstream anhydrous hydrofluoric acid demand have also declined, further pressuring the market outlook for Fluorspar. As a ripple effect, Fluorspar Ex Durban prices decreased by 4% at the end of the second quarter.
