The recent rise in ferrous sulfate prices is mainly due to a combination of factors: cost support from soaring upstream sulfuric acid prices, tighter supply caused by reduced by-products in the titanium dioxide industry, and increased demand for lithium iron phosphate and water purification agents. The continued rise in upstream sulfur and pyrite prices has created significant cost pressures, and coupled with plant maintenance shutdowns, this has kept prices at high levels.

Here are some key factors contributing to the price increase of ferrous sulfate:

1. Raw material cost increase: Sulfuric acid is the basic raw material for producing ferrous sulfate. Rising prices of raw materials such as sulfur and pyrite have led to a significant increase in sulfuric acid prices, thus supporting the cost of ferrous sulfate.

2. Supply-side contraction (reduced titanium dioxide byproducts): Ferrous sulfate is typically a byproduct of titanium dioxide production (especially the sulfuric acid process). Recently, some titanium dioxide companies have reduced production due to environmental protection measures or maintenance shutdowns, directly reducing the supply of ferrous sulfate.

3. Demand Growth:

  1). Lithium Iron Phosphate (New Energy): Ferrous sulfate is the iron source for producing lithium iron phosphate cathode materials. The rapid development of the new energy industry continues to drive demand.

  2). Wastewater Treatment: Tighter environmental policies have increased demand for industrial-grade ferrous sulfate as a wastewater treatment agent.

  3). Seasonal Factors and Plant Maintenance: Concentrated plant maintenance in some regions has led to short-term supply shortages, prompting manufacturers to maintain high prices.

Therefore, the combination of high costs, tight supply, and strong downstream demand has driven up the price of ferrous sulfate.

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