BFA and WFA markets decouple
-
Davide Ghilotti [1]
-
[1] Industrial Minerals
-
- Localización: Industrial Minerals, ISSN 0019-8544, Nº. 615, 2020 (Ejemplar dedicado a: Febrero)
- Idioma: inglés
- Texto completo no disponible (Saber más ...)
-
Resumen
Diverging dynamics The driving factor behind this fundamental change in the fused alumina market was primarily related to the supply dynamics affecting production of WFA and BFA, and the feedstock on which the two materials rely. Bayer alumina has been more readily available and cheaper to source within China, owing to oversupply internationally and sluggish domestic demand. Decoupling to intensify Although the price of both commodities fell by a similar order of magnitude during 2019, the historical premium that WFA had over BFA has been wiped out, and it now looks to be more competitive in the eyes of users than the latter material. Because of the supply patterns and lower costs, several factories in China switched production from BFA to WFA where possible during the third and fourth quarters of 2019, as Fastmarkets has previously reported.
