China sulphur weekly inventory levels up 11%

06 March 2014 12:58 Source:ICIS News

LONDON (ICIS)--Chinese formed sulphur inventory levels have increased by 11%, marking the third consecutive week of an inventory build, sources said on Thursday.

Chinese Formed Sulphur Inventory Levels (000 tonnes)

 

6 March

27 February

Fangcheng Port

459

379

Zhanjiang Port

60

35

Beihai Port

23

33

Zhenjiang

210

180

Nantong Port

400

420

Qingdao Port

260

225

Rizhao Port

0

0

Longkou Port

12

12

Tianjin Port

2

2

Total

1.426m

1.286m


The build in inventories is due to a slowdown in demand caused by the recent spike in prices, particularly for imported cargoes from the Middle East, sources said.

In relation to prices in China, an international sulphur trader said: “The feedback I get from China – the buyers are running scared. Prices are too high and everybody is backing off – there are just so many traders [in China].”

Another supplier selling into China believed that buyers were covered up to April.

“People will have enough until April. 1.2m tonnes is getting shipped alone. From this about more than 100,000 tonnes is unsold,” the supplier said.

In 2013, China imported 10.2m tonnes of sulphur, according to data provided by the International Fertilizer Industry Association. Morocco imported 3.3m tonnes, while the US imported 2.8m tonnes.

Major producer Saudi Aramco will publish its April contract price on 10 March, a company source confirmed.

Belle Zhang contributed to this article

By Julia Meehan