A00 aluminium ingot price drops by RMB20/t on slower consumption; Australian alumina FOB price grows by US$2/t

On the weak consumption of domestic primary aluminium in China that led to a slower decline in inventories on June 4, the A00 aluminium ingot price has recorded a drop of RMB 20 per tonne to stand at RMB 13,480 per tonne on Friday, June 5, found Shanghai Metals Market. The average prices are expected to range between RMB 13,460 per tonne and RMB 13,500 per tonne, with spot contract to be traded at a premium price of RMB 90-130 per tonne.

Among all the major Chinese markets, Wuxi has seen the highest decline in A00 aluminium ingot price of RMB 40 per tonne to stand at 13,460 per tonne on Friday, June 5. In Foshan, Chongqing, and Linyi, the A00 aluminium ingot price has plunged by RMB 30 per tonne to RMB 13,470 per tonne and RMB 13,510 per tonne, respectively. In Gongyi, the price has dropped by RMB 25 per tonne to RMB 13,405 per tonne, followed by the dip of RMB 20 per tonne in Hangzhou, Shenyang, and Tianjin to stand at RMB 13,490 per tonne, RMB 13,435 per tonne, and RMB 13,440 per tonne, respectively.

The prices of aluminium alloys, on the other hand, recorded no change in prices, despite weaker consumption in the market. Lower arrivals of stocks, in contrast, could be a reason for the price to remain steady, as of June 5. While the price of aluminium alloys (ADC12) is continuing at RMB 13,950 per tonne, the prices of aluminium alloy (A356) and aluminium alloy (A380) have remained restrained at RMB 14,200 per tonne and RMB 14,850 per tonne, respectively.

As far as the aluminium input costs are concerned, the Australian alumina FOB price has climbed US$ 2 per tonne to come in at US$ 252 per tonne. The prebaked anode price in central China has declined by RMB 30 per tonne to RMB 2,730 per tonne.