
RMB50,000, an acceptable price for Antimony by buyers and sellers
----Interview with Wang Jiangen
General Manager
Yiyang Huachang Antimony Industry Co., Ltd.
General Manager
Yiyang Huachang Antimony Industry Co., Ltd.
Yiyang Huachang Antimony Industry Co., Ltd. wholly restructured by Hunan Huachang Antimony Industry Co., Ltd., Yiyang Huachang Antimony Industry Co., Ltd. has become a large-scale enterprise with capacity of 10,000t and total assets of RMB100 million at present after more than 50 years' development on basis of its predecessor Yiyang Antimony Products Manufacturing Plant, which also successfully acquired the entity of "Bailong" and its product series in June 2005. The company took the lead to pass the ISO9002 international quality system certification in 1997 amid all antimony enterprises in China, becoming the second largest enterprise in China and also the one with the most comprehensive antimony product range, which is listed as one of the supply base for national antimony exports in China by the Ministry of Commerce in China. The company's trademark of "Huachang" has been listed in "Famous Trademarks in Hunan" so far from 1997 after the verification by the Trademark Office of State Administration for Industry and Commerce (SAIC) in China. Its leading products, antimony trioxide in brand of "Huachang", are sold to more than 20 counties including Japan, Europe, US, Southeast Asia, etc., which have attained long-lasting quality reputation. The company developed the new-type environmental flame retardant antimony trioxide based on great efforts in accordance with the policy trend both at home and abroad, which are widely reorganized by consumers due to its high efficiency after promoted to the market and the company is also granted the certificate of "Hunan High-tech Products and High-tech Enterprise Certification". The company's official website: http://www.hcantimony.com/index.htm
Asian Metal: First of all, please introduce the latest status of your company.
Mr. Wang: With capacity of 15,000tpy for antimony trioxide, we maintain the conservative annual output at around 8,000t with about 50% for exports. "Huachang" antimony trioxide products have been sold to more than 20 counties including Japan, Europe, US, Southeast Asia, etc. and are widely reorganized by consumers. In addition, we only focus on high-end brands with major products of antimony trioxide 99.8%, antimony trioxide 99.9% and deep-processing for customized products. From sales in the past few years, we have maintained a marginal growth.


Asian Metal: What do you think of the price fallback and consolidation on the antimony market in H2 of 2017?
Mr. Wang: I think the market price decline in H2 of 2017 is a rational return of the market. Firstly, although the environmental inspection was enhanced and producers' operating rate was lowered, the overall material circulation on the market was still in surplus compared with the demand; secondly, some stock holders rushed to clear stocks for recouping funds due to capital stains; thirdly, the number of virtually high offers was reduced based on relatively stable processing cost, guiding the market back to a healthy state.
Up till now, market prices for antimony ingot have been maintained at about RMB50,000-53,000/t (USD7,825-8,295/t), which is a reasonable range in consideration of environmental, mining, labor factors and the downward possibility is limited. However, the pressure to be conquered will be much higher if the price moves upwards. For example, material supply from regions like Haifang, etc. will greatly reduce our normal exports; the sluggish end market will also burden on the market price.


Asian Metal: The overseas market of antimony trioxide has been running slowly recently. What's your opinion about this?
Mr. Wang: We believe that the rigid demand still exists on overseas market; furthermore, the number for domestic suppliers is indeed shrinking in 2017 and we are also faced up with the situation that orders can only be delivered after about one month. However, on one hand, the export market in China faces fierce competition and overseas consumers are in low interests in bulk purchases in company with bet on the market and underselling. On the other hand, constructions of antimony smelters around China have consecutively completed, partly replenishing the overseas demand. Thus, the overseas market is relatively quiet.
