China Magnesium Industry Report

China Magnesium Industry Report, 2009-2010

Since 1998, Chinas output of primary magnesium has always topped the world, and it has become the worlds largest primary magnesium production area for successive ten years. The primary magnesium output in China accounted for approximately 89% of the worlds total in 2008, and Chinas output of primary magnesium reached 630,000 tons in 2009, down 0.15% yr-on-yr. ( http://www.bharatbook.com/detail.asp?id=133043&rt=China-Magnesium-Industry-Report-2009-2010.html )

Inflicted by global economic downturn in the first half of 2009, the output of magnesium fell since magnesium companies reduce their production substantially and the market demand got dampened a lot. It was expected that Chinas consumption of primary magnesium would reach 150,000-170,000 tons in 2009, which remained roughly unchanged or a slight growth against a year earlier. In 2H 2009, Chinas demand for magnesium grows as Chinas economy firstly picks up.

Being the worlds biggest magnesium producer, Chinas magnesium industry is export-oriented, and its export volume accounts for 71% of the output.

The export of magnesium products of all kinds amounted to 233,500 tons in total in 2009, down 41.09% yr-on-yr; and the export value accumulated to US$646 million, decreasing 61.37% yr-on-yr. The drop in Chinas export volume of magnesium products during 2008-2009, especially sharp fall in export volume in 2009, resulted from global financial crisis and foreign demand depression.

The report analyzes the development course of Chinas magnesium and magnesium alloy industry, market trend, export, and operation of key companies, and discusses the status quo and future development trend of China magnesium industry.

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