Gallium price faces strong downswing risk in H1 2020
The price of gallium in China is likely remain vulnerable to downward pressures for the remainder of 2019 and into the first half of 2020, delegates to a minor metals conference in the country’s Hunan province were told this week.
Market participants told Fastmarkets during the Chinese Minor Metals Forum, held in Changsha city over November 27-28, that the pressure on the price would come from subdued demand and a relative sufficiency of supply.
“I could not find any supportive factors that would make me optimistic about the metal’s price in the near future,” a delegate said on the conference sidelines. “It might be even [lower] than the current level in the first half of 2020.”
The bearish outlook for gallium comes despite the successful auction in late October of stocks held in the defunct Fanya Metal Exchange.