04.08.09
MINOR METALS-China cobalt prices up on tight supply
03 Apr 2009 06:52 GMT
MINOR METALS-China cobalt prices up on tight supply
SHANGHAI, April 3 (Reuters) – Cobalt prices have risen over
the past week in eastern China on tight supply, with producers
discouraged by the high cost of raw materials and low demand for
their products.
Cobalt, mainly used to make batteries, was quoted in the
range of 320,000 yuan to 330,000 yuan ($46,840 – $48,300) per
tonne on Friday, up 5 percent on the week.
“The price rise is caused by low supply in the market. The
cost of ore is high, but demand is still weak. Refiners are
unwilling to produce more,” said a cobalt trader based in the
eastern province of Jiangsu.
China’s consumption of cobalt is expected to rise at least
3-4 percent this year, thanks to strong demand from cellphone
batteries, even though demand from other sectors may fall in the
face of the global economic downturn, a refiner official said
last month.
