In recent years, domestic molybdenum concentrate prices have fluctuated, but the overall trend has been fluctuating and declining. Since the global financial crisis in 2008, molybdenum concentrate prices have repeatedly hit new lows. As of the 16th, the new price for domestic molybdenum concentrate with a content of 45% is about 1400 yuan/ton, a decrease of about 10% from the beginning of the year, to the historical low price level in August 2012, and a shrinkage of about 80% from the high point in 2005.

Since mid-2012, enterprises in major molybdenum concentrate producing areas such as Shaanxi, Henan, and Liaoning have successively stopped production to maintain prices, but the actual effect has not been ideal. Only from December 2012 to February 2013, market prices rebounded due to reduced supply and steel plant purchases.

At present, large-scale enterprises with raw ore mining in Shaanxi can control the production cost of molybdenum concentrate (with a content of 45%) around 1500 yuan/ton, while some small enterprises and enterprises with low raw ore grades have production costs above 1600 yuan/ton. The severe situation of falling below the cost line has led to a resurgence of proactive shutdowns in the industry.

Some industry insiders believe that the dominant trend in rare metal prices is the supply and demand pattern of the industry. In recent years, the domestic steel industry has been sluggish for a long time, and steel mills have lowered prices through bidding and procurement. As a result, the price of molybdenum products, which are used as steel furnace materials, has fallen and spread to the upstream of the industry chain, also affecting the continuous decline of molybdenum concentrate prices.

Looking forward to the future, the price of molybdenum concentrate has fallen below the cost line, but the terminal demand is not awesome. Although the supply is reduced, it is still difficult to transform into an obvious price support. It seems that the depressed price of molybdenum concentrate may continue to this winter.