
According to the Shanghai Metals Market, China’s metallurgical-grade alumina output in December 2022 (31 calendar days) stood at 6.43 million tonnes, reflecting a month-on-month rise of 2.2 per cent from 6.29 million tonnes and a year-on-year increase of 1 per cent from 6.36 million tonnes.
But despite the growth in monthly production, the average daily output recorded a downfall of 2,500 tonnes or 1.2 per cent M-o-M from 209,800 tonnes to 207,300 tonnes in December 2022. The monthly growth in December was primarily due to one working day more than the previous month.
However, on a year-on-year calculation, China’s daily average alumina output in December’22 recorded 2,000 tonnes or 0.97 per cent higher than 205,300 tonnes.
China’s cumulative production of alumina from January to December 2022 amounted to 77.68 million tonnes, up by 7.65 per cent year-on-year from 72.16 million tonnes. As of the end of December 2022, the domestic installed alumina capacity stood at 96.75 million tonnes, while the operating capacity was 75.44 million tonnes, down by 1.5 per cent from 76.6 million tonnes a month ago but up by 0.7 per cent from 74.92 million tonnes a year earlier. Meanwhile, the operating rate stood restrained M-o-M at 79 per cent.
SMM estimates the net imports of alumina to come in at 150,000 tonnes in December 2022. There was a slight shortage of 44,000 tonnes in the month but a surplus of about 1.66 million tonnes during January-December.
Daily output decreased in December as alumina refineries in North China were less willing to resume or increase production due to the pandemic outbreak, winter heating season, high energy costs, poor transportation, and difficulty in raw material procurement. In southwest China, 1.2 million tonnes of alumina capacity was cut, and the output declined by about 110,000 tonnes in December.
Overall, the total installed production capacity grew 9.2 per cent from 88.6 million tonnes in 2021 to 96.75 million in 2022, with the commissioning of 10.3 million tonnes of new capacity. In January 2023 (31 calendar days), China’s alumina output is estimated at 6.56 million tonnes, a Y-o-Y increase of 3.1 per cent.
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