Asian Metal visits Ningxia Sun Magnesium and Ningxia Hui-Ye Magnesium Marketing Group

Daphne Zhang, Senior Analyst of Minor Metal Department from Asian Metal visited Ningxia Sun Magnesium and Ningxia Hui-Ye Magnesium Marketing Group during September 29-30th and engaged in discussions covering every aspects of magnesium metal market in 2014 with the host companies.

On the afternoon of September 29, Daphne Zhang visited Ningxia Sun Magnesium Co., Ltd., and the company discussed its focus on developing and producing magnesium and magnesium-alloy products, which are widely used in aerospace, automotive, electronics, weapons and civil fields. Currently the monthly output in Ningxia Sun Magnesium is about 1,000 tons; meanwhile, the monthly trading volume towards domestic market could reach to 5,000 tons. Commenting on the market transaction and price behavior in 2014, Mr. Gao Yuefeng, the marketing department director cited that oversupply but weak demand could be the main reason for market slack. While Ningxia Sun Magnesium could go through the harsh period in the given month, it is supported by high capital leverage and stable customer base. Meanwhile, Mr. Gao spoke highly of past three magnesium fora held by Asian Metal, and he is looking forward to the coming 4th forum with expectation to know and engage more with magnesium insiders and to broaden sales channel.

On the morning of September 30, Daphne Zhang visited Ningxia Hui-Ye Magnesium Marketing Group Co., Ltd., and was welcomed by Mr. Wang Hongfu, the dean from Ningxia Hui-Ye magnesium & magnesium alloy institute and Mr. Rui Shengrong, the vice president from sales department. The monthly output in Ningxia Hui-Ye could reach to 3,000 tons with two plants based in Shizuishan, Ningxia and Fugu, Shaanxi. Reportedly, Ningxia Hui-Ye Magnesium has announced to invest RMB300 million to establish a high quality magnesium alloy deep processing base in Ningxia with the purpose of extending industrial chain of the company and improving weak technology in deep processing for magnesium. The project, with a planned area of 9,000m2, will be constructed in three phases from December, 2014 and will be completed and put into production by December, 2016, including high quality magnesium alloy ingot or bar production line, magnesium die casting production line, magnesium alloy extruded section production line, magnesium alloy products finish machining production line and magnesium alloy testing center, etc.