
The average spot price of alumina in China has extended its decline again by RMB 14 per tonne, as on Friday, November 22, to stand at RMB 2,489 per tonne, marking the fourth consecutive fall throughout the week. With these declines, the alumina price today stands down by RMB 135 per tonne or 5.14 per cent month-on-month, found Shanghai Metals Market.

In the east and central, the average spot price of alumina has dipped by RMB 20 per tonne to RMB 2,500 per tonne, while that in the north by RMB 10 per tonne to RMB 2,490 per tonne. In the south, however, the average alumina spot price has remained restrained at RMB 2,520 per tonne, as of November 22.
The imported alumina price has also dwindled for the second day in a row by RMB 10 per tonne to stand at RMB 2,550 per tonne on November 22, learned SMM.
Backed on the incessant falls in the average spot price of alumina, the A00 aluminium ingot price has also declined today after four back-to-back rises. According to SMM data, the aluminium ingot price today has clocked at RMB 14,050 per tonne after inching down by RMB 40 per tonne. The average prices are expected to range between RMB 14,030 per tonne and RMB 14,070 per tonne, while the spot contract to be traded at a premium price of RMB 80-120 per tonne.

Rise in the aluminium ingot price may not record a sweeping growth during the winter heating season (November-March) this year, as many primary aluminium producers, including 563,600 tonnes/year of capacity of the aluminium giant Xinfa Group and 936,400 tonnes/year of Liaocheng Xinyuan Group, would be allowed to set their own production curbs to combat smog, meaning the environmental authorities will not impose any fixed winter curbs.
However, Xinfa’s alumina refinery, with a capacity 3 million tonnes/year, may have to cut production by 10% during November 15, 2019 to March 15, 2020, while prebaked anode producers in the region are ordered to slash capacity by 25-30%.
Today, the price of aluminium alloy (A356) has neither shied away from recording a drop from RMB 14,800 per tonne to RMB 14,750 per tonne, buoyed by the downfall in upstream aluminium prices.
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