- Magnesium prices reached to 13-year high level.
- China’s Shaanxi is one of the leading producers of magnesium in the world.
- The prices of magnesium have been buoyed due to the supply crunch as China decided to shut its smelting plants on environmental concerns.
The International Magnesium Association stated on Monday that the prices of magnesium have rallied to their highest level in the last 13-years in Europe and are expected to rise further before coming to a normal level by the end of the first half of 2022. Magnesium is extensively used in the aerospace industry and to make aluminium alloys used in the automotive industry.
The prices of magnesium have been shot by widespread closures of magnesium smelting plants in China, as a part of the country's goal to limit carbon emission. Shaanxi region in China is the significant producer of magnesium in the world with no substantial output coming from outside of China.
The prices of magnesium rallied to a 13-year high level on the back of China's aim to cut carbon emissions.