Author Archives: lubon

Supply contraction leads to continued upward trend in melamine prices

Recently, the market price of melamine has started a continuous upward trend. As of August 19th, the benchmark price of melamine in Shengyi Society was 5737.50 yuan/ton, an increase of 1.07% compared to last week (5700.00 yuan/ton). Although the current price is still lower than the same period last year, the continuously expanding month on month growth rate and the steady upward trend of market prices.

Melamine

At the beginning of August, the operating load of the melamine industry briefly rebounded to around 50%, but due to the continuous high temperature weather, the equipment in major production areas such as Sichuan and Anhui passively reduced load, and the overall load rate of the industry has fallen back to 40%. The contraction of supply has led to sustained low inventory in the market, and some manufacturers have adopted a strategy of controlling quantity and accepting orders, driving prices to rise accordingly.
From a regional perspective, transaction prices in the northern region have stabilized at around 6000 yuan/ton at a high level; The mainstream price range in the central and eastern markets is 5700-5900 yuan/ton; Affected by local supply contraction, prices in the southwest region have risen to 6100 yuan/ton; The Xinjiang region presents an independent market trend due to transportation radius restrictions, with transaction prices fluctuating narrowly within the range of 5000-5400 yuan/ton.
The urea market will maintain a volatile pattern within a narrow range. As of August 19th, the benchmark price of urea in Shengyi Society was 1766.25 yuan/ton, a decrease of 2.55% compared to the beginning of this month (1812.50 yuan/ton). Under the dominance of supply contraction, the melamine market continues to show a warm trend. Although there is no strong driving force on the raw material side, the overall stable cost support effect of urea is still significant. Coupled with the continuous fermentation of low operating rates in the industry, it is expected that the upward channel of melamine prices will continue.
Overall, the current melamine market is still dominated by three major positive factors: the support of export advance receipts, the decline in industry operating rates to 40%, and the significant bottoming out effect of raw material costs, which jointly strengthen manufacturers’ determination to raise prices. Although the terminal board industry has slowed down due to high costs, the shortage of spot goods is difficult to solve in the short term (although there are few repairs, it is difficult to offset the impact of low operating rates), coupled with the market’s “buying up” mentality fermentation, mainstream enterprises are actively raising prices. It is expected that under the short-term tight supply-demand balance, prices will continue to rise, and there is currently no signal of easing the supply gap.

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Adequate supply of nylon filament, weak and stable market trend

Last week (August 11-17, 2025), the trend of the upstream raw material market for nylon filament gradually stabilized, with limited cost support and high inventory levels in the market. The industry supply was sufficient, and there was no sign of improvement in downstream market demand. Downstream manufacturers’ purchasing enthusiasm was difficult to increase, and the market trading atmosphere was average. Many operators held a cautious and wait-and-see attitude, and the nylon filament market was weak and stable, with prices mainly consolidating.

Gamma-PGA (gamma polyglutamic acid)

Nylon filament prices remain weak and stable
According to the Commodity Market Analysis System of Shengyi Society, the price of nylon filament remained weak and stable last week (August 11-17, 2025). As of August 17, 2025, DTY (premium product) of nylon filament in Jiangsu region; 70D/24F) quoted 14320 yuan/ton; Nylon POY (premium product; 86D/24F) quoted 12050 yuan/ton; The price of nylon FDY (premium: 40D/12F) is quoted at 14900 yuan/ton, which is the same as the previous period.
Weak and stable support on the raw material side
In terms of cost: Last week (August 11-17, 2025), the spot market price of caprolactam remained weak and stable. The weekly settlement price of caprolactam by Sinopec was 9575 yuan/ton (interest free for six-month acceptance). The market price of nylon PA6 slices fell weakly, with a weekly decline of 1.58%, indicating weak cost support. As of August 17, 2025, the benchmark price of caprolactam in Shengyi Society was 8986 yuan/ton, mainly due to weak price consolidation, with a weekly decline of 0.92%. During the week, the market price of high-speed spun nylon PA6 chips remained weak, stable, and fluctuating, with weak cost support being the main factor.
Supply and demand: During the week, the operating rate of some nylon filament manufacturers’ facilities decreased, and the overall market supply was sufficient. However, the industry inventory level still showed an increasing trend, and the supply side performance was poor; The demand in the end market is weak, and some downstream manufacturers have reduced production or switched production, resulting in a decrease in demand for nylon filament. It is difficult to find favorable support from the demand side, and many parties are following suit with rigid demand. Many industry players are adopting a cautious and wait-and-see attitude.
Future forecast
Cost aspect: In terms of caprolactam, the expectation for pure benzene is weak, and slice manufacturers have low enthusiasm for purchasing caprolactam. It is expected that the caprolactam market will be dominated by weak and low-level consolidation next week; In terms of PA6 slicing, cost support is limited, and the supply level of PA6 slicing market may continue to improve. Downstream market demand is weak, and it is expected that the market price of nylon PA6 slicing will weakly decline.
Supply and demand: August belongs to the off-season of traditional demand in the market, coupled with the lack of signs of improvement in terminal market demand and low purchasing enthusiasm in downstream markets. Therefore, it is expected that the demand for nylon filament market may decrease next month. If there is no significant improvement in demand, under the pressure of large inventory, some nylon filament manufacturers may have the possibility of reducing production capacity, while the industry continues to release new production capacity. Therefore, it is expected that the supply of nylon filament market will decrease next month.
Overall, both the upstream raw material caprolactam spot market and the nylon PA6 chip market may continue to decline, with a lack of cost support and difficulty in improving downstream market demand. The demand side is dragging down the market trend, and under the dual negative factors, analysts from Shengyi Society predict that the short-term nylon filament market will remain weak and stable, with weak price consolidation as the main focus.

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This week, the metal silicon 441 # market experienced narrow fluctuations

According to the analysis of the Business Society’s market monitoring system, on August 15th, the reference price for the domestic market of silicon metal # 441 was 9610 yuan/ton. Compared with August 9th (market price of silicon metal # 441 was 9590 yuan/ton), the price has increased by 20 yuan/ton, an increase of 0.21%.

Gamma-PGA (gamma polyglutamic acid)

From the market monitoring system of Shengyi Society, it can be seen that the domestic spot market for silicon metal # 441 has shown a slight upward trend this week. At the beginning of the week, the spot market for metallic silicon (grade 441 #) in some regions of China was adjusted upwards, with an increase of 50-100 yuan/ton. As of August 15th, the reference market price for metal silicon 441 in East China is around 9600-9800 yuan/ton, in Kunming it is around 9600-9800 yuan/ton, and in Tianjin it is around 9500-9700 yuan/ton. The market price reference for metallic silicon 441 # in Sichuan region is around 9200-9300 yuan/ton. The market price reference for metallic silicon 441 # in Shanghai is around 9800-10100 yuan/ton.
Fundamental situation
In terms of supply and demand: Currently, there are devices continuing to increase production in the northern regions of China, and overall supply in the northern regions is increasing. There is little change in other regions, and the overall supply and output of the silicon metal market are mainly increasing. In terms of demand, since the beginning of the month, the silicon metal market has been operating in a narrow range of fluctuations, with a strong wait-and-see sentiment downstream. The stocking and procurement performance has been cautious, mainly focusing on essential purchases.
In terms of inventory: According to incomplete statistics, on August 7th, the social inventory of silicon metal in major regions of China was about 547000 tons, an increase of about 7000 tons compared to the previous week, indicating a certain inventory pressure in the overall silicon metal market.
Market analysis in the future
At present, the overall trading atmosphere in the metal silicon market is relatively weak, and the mentality of industry players is average. The supply and demand transmission is loose. The metal silicon data analyst of Business Society predicts that in the short term, the domestic metal silicon market will mainly adjust and operate in a narrow range, and specific changes in supply and demand news need to be closely monitored.

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Consumption remains unchanged. ABS prices fell at a low level in early August

Since early August, the overall ABS market has continued to trend weakly, with some grades experiencing a decline in spot prices. According to the Commodity Market Analysis System of Shengyi Society, as of August 12th, the average price of ABS sample products was 10250 yuan/ton, with a price level increase or decrease of -0.61% compared to early August.

Gamma-PGA (gamma polyglutamic acid)

Fundamental analysis
Supply level: Since August, the load of the domestic ABS industry has increased. At the beginning of the month, Dalian Hengli equipment restarted, and the pipeline blowing task of Tianjin Dagu equipment ended. The overall load level of the industry has increased from 67% at the beginning of the month to over 71%, and the supply side continues to relax. The weekly average production is close to 140000 tons, and the inventory position of aggregation enterprises is at a high level of 220000 tons, with ample supply maintained on site. Overall, the long-term loose supply pattern in the ABS market remains unchanged, and the high inventory levels in the industry are temporarily controllable. Overall, the supply side has weak support for ABS spot prices.
Cost factor: In early August, the overall narrow range of ABS upstream three materials market increased, which limited the support for ABS cost side. Within the interval, the acrylonitrile production capacity of East China Zhejiang Petrochemical and Sinochem Quanzhou plants has decreased, leading to a decrease in industry capacity utilization and an upward trend in market quotations. And there will still be maintenance by enterprises such as Fushun Petrochemical in the future, and the supply will gradually decrease to alleviate excess pressure. At the same time, downstream major factories have stable contract demand, and short-term main manufacturers are expected to continue to raise prices. However, considering that the overall supply is still abundant and spot buying is still cautious, there may still be resistance to pushing up prices.
The domestic butadiene market fluctuated slightly in early August, with a slight increase. On the supply side of the industry, there has been a slight decline with a slight increase in losses and a restart. The equipment in Shandong region has not been exported yet, and the overall supply is tight. At the beginning of the month, the demand side entered the market to replenish inventory at a low price, and the overall demand is now returning to rigid demand. The future market may mainly operate in a stable to weak manner, and the overall fluctuation range may be limited.
Recently, styrene has been mainly fluctuating. The overall supply of pure benzene raw materials has slightly contracted, with a reduction in both petroleum benzene and hydrogenated benzene. However, the market supply has been loose for a long time, with abundant sources of goods and limited price increases. On the other hand, the operating rate of styrene remains stable with small fluctuations, and there will be both market restart and production in the future. Insufficient guidance on downstream demand is expected to put pressure on the styrene market in the short term.
On the demand side: In the medium to long term, the downstream factories of ABS have had average loads. The current market is in the traditional off-season range, and terminal enterprises maintain a strong demand for supplementary orders. Since August, the production of electrical casing industry has decreased, and consumption has further shrunk. The geopolitical situation in Eastern Europe has caused concerns in some markets, and the external market has added a more cautious atmosphere, resulting in a slow flow of goods. Domestic inventory levels remain high and sideways, with continued loose supply and ample room for on-site turnover. Overall, there has been no improvement in the demand side’s support for the ABS market.
Future forecast
In early August, the domestic ABS market was weak and the consolidation trend continued. Upstream three materials, two rising and one fluctuating, ABS polymerization plant production load increased, and the demand side is at a low season level. Analysts from Shengyi Society believe that the long-term drag on spot prices of ABS due to supply and demand contradictions makes it difficult for the market momentum to improve. It is expected that the ABS market will maintain a consolidation pattern in the short term.

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Downstream demand replenishment, adhesive short fiber market weak and stable

Last week (August 4-10, 2025), the market trend of the main raw material for viscose staple fiber, dissolved pulp, was deadlocked, with relatively stable cost support. Downstream enterprises mainly executed early orders and purchased according to demand. The trading atmosphere in the market was average, and the industry had a strong wait-and-see atmosphere. The price fluctuations in the viscose staple fiber market were not significant, and the market was weak and stable.

Gamma-PGA (gamma polyglutamic acid)

According to the Commodity Market Analysis System of Shengyi Society, as of August 10th, the average market price of viscose staple fiber was 12980 yuan/ton, with a weak and stable price.
In terms of cost: Last week (August 4-10, 2025), there was little change in the market price of raw material dissolving pulp, with a weak stalemate. As of now, the price of domestically produced dissolving pulp is around 6700 yuan/ton, the price of outer broad-leaved pulp is around 800 US dollars/ton, and the price of coniferous pulp is around 870 US dollars/ton. The market prices of auxiliary materials such as liquid alkali and sulfuric acid remain stable but fluctuate slightly, with average cost support.
Abundant supply
The industry supply has declined, and the current daily operating rate in the market remains at around 75%. The inventory levels of various adhesive short fiber manufacturers have declined compared to the previous period, and downstream yarn companies are picking up goods as needed. The overall inventory level of the adhesive short fiber market has decreased, but the market supply is still abundant, and the support from the supply side is limited.
Downstream essential replenishment
The operating rate of downstream cotton yarn market equipment has slightly increased, and price fluctuations are not significant. As of now, the price of ring spun R30S in Jiangsu region is around 17100 yuan/ton, and the price of ring spun R40S is around 18300 yuan/ton. The market is in a traditional off-season of demand, and downstream cotton yarn market transactions are not ideal. Only a few models of vortex spun cotton yarn have slightly better export orders. Cotton mills mainly consume raw material inventory and replenish urgently needed goods, with no significant improvement in demand.
Future forecast
On the raw material side, the main material dissolution slurry market and the auxiliary material sulfuric acid market are generally stable, while the liquid alkali market may experience a narrow decline. Therefore, it is expected that the market price trend of adhesive short fiber raw materials will decline in the short term, and the cost support will be insufficient.
Supply and demand side: The operating rate of the adhesive short fiber market equipment may not fluctuate significantly, and some manufacturers have high inventory levels. Therefore, it is expected that the supply side support of the adhesive short fiber market will be poor in the short term; The terminal market is still in the traditional off-season of demand, with limited new orders placed. Downstream yarn mills are experiencing a certain degree of risk aversion and may maintain their demand for signing orders. It is expected that the driving force of the adhesive short fiber market from the demand side will be moderate in the short term.
Overall, the main raw material dissolution slurry market may be weak and stagnant, with sufficient overall supply. Downstream yarn mills mainly sign orders according to demand. Under the interweaving of on-site news, adhesive short fiber manufacturers may maintain their previous quotations. Therefore, analysts from Shengyi Society predict that the domestic adhesive short fiber market will remain stable with small movements in the short term, and the price is expected to be accepted at 12800-13000 yuan/ton.

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Nickel prices remain deadlocked after a slight increase this week

Price trend: (8.1-8.8)

Gamma-PGA (gamma polyglutamic acid)

According to the monitoring of the commodity market analysis system of Shengyi Society, on August 8th, spot electrolytic nickel was reported at 122316 yuan/ton, with a weekly increase of 0.96% and a year-on-year decrease of 4.64%. This week, nickel prices showed a trend of first rising and then remaining stagnant, mainly influenced by macroeconomic policy expectations and market sentiment fluctuations, while the lack of clear fundamental drivers maintained an overall volatile consolidation pattern.
Macro level:
Weak US economic data: In July, the US added only 73000 non farm payroll jobs, with an expected 104000, and the May June data was significantly revised down by 258000. The rising unemployment rate has intensified market concerns about an economic slowdown.
The expectation of Fed interest rate cuts has strengthened: San Francisco Fed’s Daley said that “two interest rate cuts within the year are still appropriate”, and the market expects a 25 basis point cut in September and December respectively. The expectation of loose liquidity provides support for base metals, but weak demand limits their gains.
Global trade friction escalates: Trump signs executive order to impose tariffs ranging from 10% to 50% on countries such as India, Canada, and Brazil, further exacerbating market risk aversion.
Sustained domestic policy support: China’s third batch of 69 billion yuan of special treasury bond funds for trade in consumer goods has been released, and the fourth batch will be released in October. The annual 300 billion yuan fund plan is steadily advancing. The conference and the ‘anti internal competition’ policy boosted market confidence, with clear bottom support.
China’s July trade data exceeded expectations, but the global manufacturing PMI of 49.3% (contracted for two consecutive months) and the Asian manufacturing PMI of 50.5% slowed down, reflecting that the global economic recovery is still unstable.
Supply side:
Nickel ore price: The benchmark price for domestic trade of Indonesian nickel ore in the first cycle of August was $15028.33 per dry metric ton, an increase of 0.69% compared to the second cycle of July. The price of nickel ore in the Philippines remains stable, with an increase in port arrivals.
Inventory changes: Domestic Shanghai nickel inventory decreased by 1084 tons to 20621 tons during the cycle, while LME nickel inventory increased by 3540 tons to 212232 tons during the cycle. The global inventory surplus pattern has not changed, suppressing the upward space for prices.
Demand side:
Stainless steel is facing certain production reduction expectations, weak support for nickel demand, and high inventory and weak demand problems still exist. On August 7th, the benchmark price of stainless steel was 13100 yuan/ton, with a weekly increase of 0.15%.
New energy demand: The demand for nickel in the field of ternary precursors and batteries remains stable and has not shown significant growth.
Future outlook:
Macro led short-term trend: Expectations of Federal Reserve interest rate cuts and the trend of the US dollar remain key variables. If the September interest rate cut is implemented, nickel prices may rise slightly supported by liquidity. But the escalation of trade frictions may exacerbate market volatility and limit gains. The fundamentals are still weak: there is still excess pressure on the supply side, and there is no strong driving force in the stainless steel and new energy sectors on the demand side. The upward space for nickel prices is limited.

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Adipic acid market rises

According to the Commodity Market Analysis System of Shengyi Society, since July 22nd, the domestic adipic acid market has been continuously rising due to bullish support. On July 22nd, the average market price of adipic acid was 7066 yuan/ton. On August 6th, the average market price of adipic acid in China was 7300 yuan/ton, an increase of 3.3%.

Gamma-PGA (gamma polyglutamic acid)

Liduo supports the upward trend of domestic adipic acid market
Since July 22nd, the prices of pure benzene and cyclohexanone raw materials for adipic acid have risen, leading to increased demand in the end plastic industry and an overall increase in prices for adipic acid manufacturers. The domestic adipic acid market has seen an improvement in transactions and a rise in the market. As of August 6th, the average market price of adipic acid has risen to around 7300 yuan/ton, with an overall increase of over 3%.
An analyst from Shengyi Society believes that in mid August, the rigid demand in the terminal industry will increase, and the raw material market will be boosted. The adipic acid market will continue to strengthen in the future.

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The supply-demand contradiction remains unresolved, and the price of acrylic acid may remain weak in the short term or continue to be weak

The domestic acrylic acid market continues to weaken, with prices generally falling in various regions. As of August 6th, the benchmark price of acrylic acid in Shengyi Society was 6500.00 yuan/ton, a decrease of 2.26% compared to the beginning of this month (6650.00 yuan/ton).

Gamma-PGA (gamma polyglutamic acid)

In terms of raw materials:
Yesterday, the price of propylene in Shandong fell by 50 yuan, currently at 6130-6190 yuan/ton. Although it is expected that the price of propylene will rebound slightly in the near future, the production cost of acrylic acid is still at a relatively low level, and manufacturers still have some profit margin.
Price changes:
The mainstream transaction price in North China is 6150-6250 yuan/ton, a decrease of 100 yuan from the previous day
The price of refined acid in East China is 6600-6700 yuan/ton, a decrease of 50 yuan
The price of 6300-6400 yuan/ton in southern China has also dropped by 50 yuan
Supply situation:
There are two Zibo units under maintenance in North China, but other factories have high production enthusiasm. The Putian unit in South China has been postponed to resume production in mid August, but the Qinzhou and Huizhou units are producing normally. Overall, the market supply is sufficient and there have been no shortages
In terms of demand:
The continuous hot and rainy weather continues to affect downstream demand, and downstream enterprises mainly focus on digesting inventory, only making a small amount of essential purchases, especially in downstream industries such as SAP and polyacrylamide where demand is weak
Market mentality:
The continuous decline in prices has led to a strong bearish sentiment in the market, with buyers generally adopting a wait-and-see attitude, waiting for prices to further decline. Transactions are mainly low-priced small orders, and overall trading is light
Future outlook:
Although the raw material propylene may rise slightly, the profit margin of acrylic acid still exists. In the case of oversupply, it is expected that manufacturers will continue to offer discounts for shipments. In the short term, the acrylic acid market may maintain a weak operating trend

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Weak supply-demand relationship, slight fluctuations in melamine market

Market situation

Melamine

Recently, the melamine market has indeed faced the dilemma of negative sentiment and sluggish demand, leading to overall downward pressure on the market. However, in the long run, these negative factors will inevitably have a profound impact on the market. Affected by both sluggish demand and oversupply, the market price of melamine is showing a downward trend. As of August 5th, the benchmark price of melamine in Shengyi Society was 5812.50 yuan/ton, a decrease of 0.21% compared to the beginning of this month (5825.00 yuan/ton).
Downstream demand is sluggish: Downstream industries related to melamine, such as sheet metal and impregnation, have seen a decrease in operating load, resulting in an overall shortage of demand for melamine.
The real estate industry, as one of the important application areas of melamine, continues to be sluggish, with new construction areas and development investments continuing to decline, further weakening market demand.
Upstream raw material prices: The domestic urea market continues to operate in a stable to weak trend, with some manufacturers experiencing a slight decrease in quotes, and the overall market transaction center shifting downwards. This has reduced the production cost of melamine, but has not effectively boosted market demand. As of August 5th, the benchmark price of urea in Shengyi Society was 1812.50 yuan/ton, unchanged from the beginning of this month.
At present, the market atmosphere for melamine is average, and the market is operating weakly and steadily. Affected by the increase in supply and weak demand, the market price of melamine is expected to continue to operate at a low level. In the foreseeable future, with the gradual release of new production capacity and the gradual recovery of downstream demand, the supply and demand relationship in the melamine market is expected to be adjusted. However, in the short term, the market may still face pressure from oversupply, and the trend of low prices is difficult to change.
Inventory backlog: With the increase in supply and insufficient demand, some companies’ inventory begins to accumulate. This not only increases the operating costs of the enterprise, but may also have adverse effects on subsequent production and sales.
The export situation is severe: the export market for melamine is also facing severe challenges. On the one hand, the international market competition is fierce, and Chinese products need to face competition from other countries and regions; On the other hand, the international trade environment is complex and ever-changing, and uncertain factors such as trade barriers and technical barriers may affect the export of melamine.
Future outlook for supply-demand adjustment: With the gradual release of new production capacity and the gradual recovery of downstream demand (although currently sluggish), the supply-demand relationship in the melamine market is expected to be adjusted to some extent in the future. However, in the short term, the market may still face pressure from oversupply.
Low price operation: Affected by the increase in supply and weak demand, the market price of melamine is expected to continue to operate at a low level. The specific price trend still needs to be judged based on market dynamics and changes in supply and demand relationships.
In summary, the current melamine market is indeed facing the dilemma of negative sentiment and sluggish demand. However, by strictly controlling production capacity, improving product quality, expanding application areas, and strengthening international cooperation, enterprises can actively respond to market challenges and achieve sustainable development.

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In August, the metal silicon market experienced a downward trend

According to the analysis of the Business Society’s market monitoring system, on August 5th, the reference price for the domestic market of silicon metal # 441 was 9590 yuan/ton, which was 520 yuan/ton lower than the market price of silicon metal # 441 on July 30th (10110 yuan/ton), a decrease of 5.14%.

Gamma-PGA (gamma polyglutamic acid)

From the commodity market analysis system of Shengyi Society, it can be seen that as we enter August, the overall domestic silicon metal market has shown a continuous downward trend. Looking back at the end of July, the spot market price of silicon metal returned to the 10000 yuan mark, but the high level was difficult to hold. In the early days of the month, the focus of the silicon metal spot market continued to fall, with a daily decline of around 100-200 yuan/ton. As of August 5th, the market price of silicon metal 441 # in East China was referenced at 9500-9600 yuan/ton, Kunming was referenced at 9700-9900 yuan/ton, Huangpu Port was referenced at around 9400-9800 yuan/ton, Tianjin was referenced at 9300-9600 yuan/ton, Sichuan was referenced at 9200-9300 yuan/ton, and Shanghai was referenced at 9200-9300 yuan/ton. 9700~10000 yuan/ton.
Fundamental situation
In terms of supply and production: According to incomplete statistics, the metal silicon production in July 2025 increased by about 3.2% month on month at 338000 tons, and decreased by about 30.6% year-on-year. In August, it is expected that the production of silicon metal will continue to increase slightly. After entering the flood season, the overall operation and supply of the silicon metal market have also increased.
In terms of demand: Currently, the downstream demand for metallic silicon is mainly for rigid procurement, while the downstream polycrystalline silicon and organic silicon markets are generally stable. The procurement of raw materials is cautiously observed and mainly based on demand.
Market analysis in the future
Overall, the rise in the silicon metal market this time is largely influenced by macro news, and the overall support provided by the supply and demand side to the market is average. The improvement in transmission between supply and demand is still limited. Business Society’s silicon metal data analyst predicts that in the short term, the domestic silicon metal market will mainly fluctuate, and specific changes in supply and demand news need to be closely monitored.

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