2025 First Half Abrasives & Raw Materials Market Analysis Report — White Fused Alumina
July 04,2025
📈 2025 First Half Abrasives & Raw Materials Market Analysis Report — White Fused Alumina
1. Macro Background
In the first half of 2025, the global manufacturing sector maintained a mild recovery trend following a modest rebound in late 2024. Inventory destocking in North America and Europe was largely completed, leading to a gradual release of downstream demand, though overall recovery remained cautious. Markets in Southeast Asia and India continued to show faster growth, driving up demand for premium abrasives, especially high-grade white fused alumina (WFA).
On the supply side, China, as the world’s main WFA producer, continued to face tight production capacity due to energy constraints and stricter environmental policies, which helped keep prices firm.
January–March 2025: Limited production during the Chinese New Year holiday and regional power restrictions led to lower operating rates and tighter inventories. Prices increased slightly by 3%–5%.
April–June 2025: With rising temperatures and stricter environmental controls in some areas, WFAprices remained at relatively high levels with mild fluctuations. Local adjustments occurred but the overall market stayed firm.
Compared to the same period in 2024, the average ex-factory price of WFA (Al₂O₃ ≥ 99.5%) segment sand increased by approximately 5%–8%.
🔹 Cost Factors
The main cost drivers for white fused alumina remain industrial alumina, electricity, and labor:
Alumina: Industrial alumina prices were volatile but overall stayed strong, supporting WFA costs.
Electricity: High energy consumption and fluctuating power tariffs kept production costs under pressure.
Environmental Compliance: Continued strict requirements for emission and dust control increased operational costs and limited some small and mid-sized producers.
3. Supply & Demand
Supply:
Major production areas (Henan, Shanxi, Guizhou) maintained an average operating rate of 70%–80%. Some small producers had unsta.