Analysis on Brown Fused Alumina & Sic Market Situation

As two important types of abrasive grains, aluminum oxide and silicon carbide are experiencing different market situation.

In 2014, brown fused alumina market continued to be sluggish. To figure out the cause, relevant investigation was conducted. Reporters picked 20 brown fused alumina sample enterprises. Statistics indicate that the monthly total consumption of brown fused alumina in 2013 was 2110 tons, while in 2014, the 20 enterprises consumed a total of 1298 tons of brown fused alumina per month, which decreased approximately 50% on year-on-year basis.

Among the 20 enterprises, 15% have changed the line of production, 5% have stopped production, 10% are waiting for order, and the rest 70%, influenced by decrease in orders and market situation, have reduced production. To reduce purchasing costs, some brown fused alumina enterprises use homogenized alumina to replace brown fused alumina, which, however, is not considered as the basic method to solve problems.

Enterprises bankruptcy and reduction of output have become the major causes of progressive decline in brown fused alumina consumption. Currently, the price of brown fused alumina dumping furnace section sand in Jiangsu Province is 4,300 Yuan to 4,400 Yuan per ton.

The silicon carbide market is stable. Most silicon carbide manufacturers are strict with shipment. The trading volume is also stable. Specialists analyze that the Sic market situation is expected to be better than last year. Meanwhile, Sic manufacturers are suggested to make plans according to market trend to further meet market demand.