One price per day refers to yellow phosphorus, and its price will usher in the third wave of surge in 2021. Affected by the epidemic and environmental protection, the price of yellow phosphorus has soared almost to cut the existing yellow phosphorus production capacity. At present, some enterprises in Guizhou, Yunnan, Sichuan and other places have shut down their furnaces, and the recovery time is uncertain. Many companies accept new orders for yellow phosphorus at 29,000 yuan/ton. Sodium hexametaphosphate is a basic raw material commonly used in downstream industries, food and other basic raw materials, and the supply is also greatly affected. At present, who has the sodium hexametaphosphate in stock?

Looking at some of the companies that are currently under construction, Chongqing Chuandong Chemical Group has our own phosphorus mine, and the current yellow phosphorus plant is normal. It’s just that the increase in the price of yellow phosphorus has caused the company’s downstream products phosphoric acid, sodium tripolyphosphate, sodium hexametaphosphate, sodium pyrophosphate and other phosphate prices to rise to a certain extent. From the current situation, it can continue to meet the supply demand.

In this regard, some people in the industry said that the continuous increase in the price of yellow phosphorus was jointly affected by many factors.

1. Less phosphate rock

Phosphate rock is one of the main raw materials for the production of yellow phosphorus. The output of phosphate rock in my country reached its peak in 2015, with an annual output of 130 million tons. However, there are problems such as chaotic mining order, mainly small and medium-sized enterprises, low resource utilization, and greater damage to the environment. Therefore, strengthening the governance and rectification of phosphate mines has always been one of the major challenges of environmental protection in my country in recent years.

2. Lithium iron phosphate battery is on fire

The boom in the downstream application market this year has also driven the rise of the yellow phosphorus market.

3. Yellow phosphorus enterprises have been curtailed again

Our country's yellow phosphorus production areas are concentrated in Yunnan, Sichuan, Guizhou and Hubei provinces in the southwest. The southwest region is dominated by hydropower. In this context, the domestic price of yellow phosphorus has risen sharply since mid-May. The average price on May 10 was 17,733.33 yuan, and the average price on June 8 was 24,500 yuan. In July, it set a record of 19.9% increase in a single day.

At present, there is basically no stock in the yellow phosphorus spot market, and the market supply tension has intensified. It is expected that the price of yellow phosphorus will continue to increase in the short term. We are here to remind everyone that thermal phosphoric acid, sodium tripolyphosphate, sodium hexametaphosphate, sodium pyrophosphate and other phosphates are commonly used basic chemical raw materials, and stocks must be prepared in time.