In December, the domestic yellow phosphorus price dropped by 300~400 yuan (ton price, the same below). The current mainstream transaction price is 15100~15300 yuan, showing a slight fluctuation trend.
The cost has a strong support for the price of yellow phosphorus. Yellow phosphorus is a major consumer of electricity, and electricity costs account for about 60% of the total cost of yellow phosphorus production. In November, it began to enter the flat water period, and the electricity prices in Yunnan and Sichuan increased. According to Baichuan Information, most yellow phosphorus companies in Yunnan increased their electricity prices by 0.08~0.12 yuan/kWh in November; some enterprises in Sichuan increased by 0.07~0.08 yuan/kWh. The increase in electricity prices has led to an increase in the production cost of yellow phosphorus tons by 1,000 to 1,600 yuan.