A00 aluminium ingot and aluminium alloy prices extend decline on slower demands

Despite a decline in social inventories of primary aluminium on Thursday, November 11, the A00 aluminium ingot price has shown no sign of rise but dropped by RMB 190 per tonne to stand at RMB 13,910 per tonne, as of November 12, found Shanghai Metals Market. With this second consecutive downfall, the A00 aluminium ingot price today is hovering lesser by RMB 60 per tonne from the corresponding period last month, learned SMM data. The average prices are expected to range between RMB 13,890 per tonne and RMB 13,930 per tonne, while the spot contract to be traded at a premium price of RMB 160-120 per tonne.

Among the major Chinese markets, Gongyi has seen the highest decline in the ingot price by RMB 190 per tonne to stand at RMB 13,750 per tonne, as of November 12, followed by Foshan, Chongqing, and Tianjin, where the ingot price has climbed down by RMB 180 per tonne and RMB 160 per tonne to RMB 13,840 per tonne and RMB 13,890 per tonne, respectively. The price in Wuxi, Linyi, Hangzhou, and Shenyang has inched down by RMB 120 per tonne, RMB 110 per tonne, and RMB 65 per tonne, respectively to clock at RMB 13,920 per tonne, RMB 13,970 per tonne, RMB 13,940 per tonne, and RMB 13,965 per tonne.

The price of the aluminium alloy (A356) has also continued to decline today, on November 12, by RMB 200 per tonne to stand at RMB 14,600 per tonne. Slow demands for both primary and downstream aluminium are believed to be the prime reasons for these sweeping declines in aluminium ingot and aluminium alloy prices.

Among the input costs, the prices of aluminium fluoride and cryolite have recorded a decline by RMB 1,000 per tonne and RMB 200 per tonne to come in at RMB 8,400 per tonne and RMB 5,800 per tonne, respectively. The prices of bauxite and alumina have shown restrained.