Fujian Xinhao Halts Vanadium Nitride Production

BEIJING (Asian Metal) 26 Apr 19 – Fujian Xinhao Advanced Material Co., Ltd. performed the overhaul from early April for 45 days, and expects to resume production of vanadium nitride on 15 May. The maintenance would affect a capacity of 100tpm and 60tpm of the output will be reduced.

“Vanadium nitride sells bad now, giving us an opportunity to perform the overhaul, which started from early April and would last till mid-May. We expect to resume production on 15 May,” a source from the company said, “We only manage to break even at the price of RMB258,000/t (USD38,338/t) for vanadium nitride counting on the basis of RMB170,000/t (USD25,262/t) for raw material vanadium pentoxide flakes 98%min. Companies holding high-priced raw material stocks are mainly in the red now.”

With an annual production capacity of 1,200t, they produced 60t in March, an increase of 10t from February, holding no stocks now.

Asian Metal showed that mainstream prices for Chinese vanadium nitride stood at RMB255,000-258,000/t (USD37,892-38,338/t) EXW D/A 180 days on Thursday, up by RMB5,000/t (USD743/t) from last week. Despite still high prices for raw material vanadium pentoxide flakes, insiders are pessimistic about the market as orders from downstream steel plants are limited. Therefore, Chinese vanadium nitride prices are expected to keep stable in the coming week.