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Demand And Supply Promote Rising Price
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The rising cost leads to the rising price of magnesium oxide. The raw material price of magnesite, magnesium hydroxide, magnesium carbonate and dolomite is also rising persistently. These raw material’s rising price brings a higher price of magnesium oxide. What’s more, the more and more important environmental protection and structural adjustment add stress to magnesium oxide suppliers.
In addition to the drive from cost factor, tension supply of magnesium oxide also supports the market. In the past two years, our government strives to develop chemical industry and stimulates national animation export. Therefore, it takes the leadership position in the magnesium oxide market at home and abroad. The domestic magnesium oxide suppliers respond to the call of government positively, strive to develop high and new technology, adjust the industrial structure and increase exports. It leads to the supply and demand of domestic magnesium oxide tense and push the rising market price of magnesium oxide.
Lead by the rising price of magnesium oxide, the downstream industrial link also rises. For example, rubber, thermal conductive plastics, catalyst, tire and so on. In order to respond to market demand, these industries are rising price. Although the technical capacity has been improved and price decreased a little, for all of this year, the trend of magnesium oxide price is always rising.
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