Will a 22% drop in gold prices affect the price of gold charcoal?

Q1: The price of gold has dropped, but why hasn't the price of coconut shell activated carbon gone down accordingly?

The price of coconut shell activated carbon used for gold extraction is not as closely related to the gold price as you might think. The factors that truly determine its price are the following three:

First, the cost of coconut shell raw materials. The raw material for extracting gold is coconut shell from Southeast Asia, not gold. In 2025, Indonesia implemented quota management for coconut shell exports, reducing the annual export quota by 18%; meanwhile, the FOB price of imported coconut shell increased by 27.6% compared to the same period last year. As the raw materials became more expensive, the price of the finished coconut shell activated carbon naturally rose.

Second, supply gap. China relies on imported coconut shell raw materials for over 90% of its needs. The annual domestic production of coconut shell is only about 147,000 tons, while the annual production capacity of coconut shell activated carbon in China has reached 382,000 tons. There is simply not enough high-quality raw materials available, and the demand for high-end coconut shell activated carbon is in short supply, so its price naturally has support.

Third, processing costs. High-end coconut shell activated carbon used for gold extraction relies on the Slep furnace for high-temperature activation process, and the production cost is about 15% higher than that of ordinary activated carbon. This cost is rigid and has nothing to do with the gold price.

Q2: The price of gold has dropped. What should we pay more attention to when purchasing coconut shell activated carbon?

First, don't be lured by the low price. Products labeled as "coconut shell activated carbon for gold extraction" priced below 18,000 are likely to be fraudulent. They may either contain coal-based activated carbon or have falsely labeled iodine values. The money saved on the activated carbon can be lost multiple times when converting it to gold.

Second, when the price gap between high-end and low-end products narrows, it's even more advisable to choose the high-end option. The price difference between high-end and low-end coconut shell activated carbon is shrinking, but the performance gap remains the same. At this time, the cost-performance ratio of the high-end product actually improves.

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· Fujian Guangyuan Carbon Products Co.,Ltd.