Molybdenum Price Influence Factors

Molybdenum price influence factors are lots, including raw material price change, labor, energy, market demand and so on.

From the demand side, the transformation of China's economic structure, the development of emerging industries and molybdenum industry policy implementation can stimulate molybdenum market demand.

From the supply side, in recent years, China found a number of large molybdenum ore, so in the next few years will greatly satisfy the market molybdenum products and raw materials supply capacity. However, a number of foreign molybdenum mines is also gradually put into production, so China's molybdenum products exports volume will reduce, which will give future molybdenum market greater pressure.

From the molybdenum cost side, with China domestic labor, energy and other production factors price increasing, it will greatly increase the production cost of molybdenum, leading to price increases.

If the market demand can grow rapidly and it can increase production capacity, so the global molybdenum market will maintain oversupply situation, which is conductive to future molkybdenum price increase, but the range is small.

China molybdenum demand is increasing every year from 2004 to 2012, but the supply was exceeding demand. In addition, with China's large molybdenum mine put into operation, supply capacity will be significantly improved, so small and medium-sized mines is difficult to profit.

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