After the May Day holiday, the price trend of domestic fluorite has increased. As of the 6th, the average price of domestic fluorite was 3125 yuan/ton, an increase of 1.63% compared to the price of 3075 yuan/ton on the 1st. However, the tight spot supply of fluorite has not improved, and the price of fluorite is “outstanding”.

Supply side: Difficulty in starting mining, shortage of fluorite in stock

Recently, the operating rate of domestic fluorite enterprises is relatively low, and outdated mines will continue to be phased out. In terms of adding new mines, mineral investigation work is still facing many difficulties. Mining enterprises are facing increasingly strict safety and environmental requirements, and the operation of fluorite mines is severely insufficient. In addition, in some areas, non-metallic mine accidents have occurred, and the requirements of environmental protection and emergency management departments have become stricter. The difficulty of mine operation has increased, and domestic fluorite raw materials are tightening. The operation of fluorite flotation devices is limited, and the price trend of fluorite has slightly increased in May.

On the demand side: The price of hydrofluoric acid is declining, and the refrigerant market is not good

The price trend of domestic hydrofluoric acid has declined, with the mainstream price negotiated by various regions in China ranging from 10000 to 10400 yuan/ton. Recently, some units are still in shutdown, but the spot supply of hydrofluoric acid is sufficient, and the order situation of manufacturers for hydrofluoric acid is weak. As a result, the market trend of hydrofluoric acid has declined. Recently, the price of fluorite has risen, and downstream demand is poor. The dual impact has led to serious losses for hydrofluoric acid production enterprises.

The market of downstream refrigerant products at the terminal has slightly declined, and the operating rate of the refrigerant industry has not changed much. Recently, there has been sufficient refrigerant supply, which has led to a slight decrease in the price of domestic refrigerant R22. The load of refrigerant R22 manufacturers is not high, and inventory is within a reasonable range. There is a strong wait-and-see sentiment. The domestic R134a manufacturers are operating at low loads, and the price trend of R134a is declining. Currently, on-demand procurement is the main trend, while downstream enterprises are not operating high. Traders have a strong wait-and-see attitude, and the actual transaction situation is light. Currently, the market quotation for refrigerant R134a is mostly in the range of 25000-25500 yuan/ton, and some enterprises have not resumed production. The demand orders are still small, and the market is stagnant and declining. Overall, the refrigerant market is not good, and the operating rate is less than 30%, Due to the scarcity of upstream raw material procurement, the growth of the raw material fluorite market has been somewhat suppressed.

In addition to the traditional demand of the refrigerant industry in the downstream, fluorite, as an important mineral raw material for modern industry, has been growing in demand in emerging fields. It is also used in strategic emerging industries such as new energy and new materials, and in fields such as national defense and nuclear industry, including lithium hexafluorophosphate, PVDF, graphite anode, photovoltaic panels, etc. With the demand of new energy and semiconductor, the fluorite market has been supported to some extent.

Future market forecast: In the near future, the supply of raw material fluorite ore is tight, fluorite production is limited, and spot supply is tight. However, the market price of hydrofluoric acid is lower, and the demand of refrigerant industry is not significantly improved. Under the long short game, Chen Ling, an analyst of the business community, believes that the fluorite price will remain temporarily stable in the short term.