Middle East - Major Sulphur Suppliers for China

In 2017, China’s sulphur import volume was 11,235.7kt. The top 5 suppliers were Saudi Arabia, the U.A.E., Iran, South Korea and Japan, with the import volume occupying 20.71%, 16%, 11.27%, 9.52% and 9.23% of the total volume respectively. The import volume from the Middle East (Saudi Arabia, Iran, Qatar, Kuwait and the U.A.E.) was 6,546.5kt, taking up 58.27% of the total. That increased by 5% from 6,231.3kt in 2016.

In 2017, the import volume from South Korea and Japan decreased by 15.65% and 10.22% Y-O-Y respectively. Mergers in Japan and maintenance in South Korea were the major reasons, which led to the reduction in supply volume.

The import volume from Saudi Arabia was 2,327.3kt, down 7.95% Y-O-Y. That from the U.A.E. was 1,797.3kt, down 2.39% Y-O-Y. The major reasons for the decrease were that Wa’ad Al-Shamal Phosphate Project released products and took some market shares. Besides, import prices from the U.A.E. were high, and many traders and end users chose other low-priced resources.

The import volume from Russia was 187.8kt, down 70.22% Y-O-Y. That from Kazakhstan was 88kt, down 81.25% Y-O-Y. The stockpiles in Kazakhstan were totally consumed in H2 of 2015. Now the producers produced on orders, and prices were gradually close to the market offers. The loss of price advantage greatly dampened end users and traders’ buying interest. Russia and Kazakhstan mainly produced lump sulphur. Most China’s ports banned the unloading of lump sulphur, due to the environmental protection.

The import volume from Iran was 1,276.7kt, ranking third. That was up 37.29% Y-O-Y. The import volume from Canada was 930.6kt, up 11.33% Y-O-Y. That from Qatar was 975kt, up 37.72% Y-O-Y. Prices in Iran, Canada and Qatar changed according to the market and they were well accepted by the end users and traders. Meanwhile, the supply volume was relatively stable.

Although the import volume from Saudi Arabia and the U.A.E. went down, the Middle East was still the largest supplier.