China’s A00 aluminium ingot price declines by RMB270/t W-o-W, reflecting the continuing downward trend

According to Shanghai Metal Market (SMM) survey China’s A00 aluminium ingot price on July 29, has decreased by RMB 40 per tonne or 0.21 per cent from the previous day, settling at RMB 19,160 per tonne. This price shift marks a slight decline from the previous trading session, highlighting a continuing downward trend in the aluminium market.

The week has started with a very minor downfall in the price. Compared with the previous week, the price is down by RMB 270 per tonne from RMB 19,430 per tonne. The average price as of today may range between RMB 19,140 per tonne to 19,180 per tonne whereas the spot contract price is expected to be traded at a discount price of RMB 60 to RMB 20 per tonne.

Region-wise analysis:

The prices have shown a uniform decrease in all the regions, with both Foshan and Gongyi marking a fall of RMB 40 per tonne and RMB 50 per tonne, respectively. The prices settled at RMB 19,040 per tonne and RMB 19,010 per tonne

In Wuxi and Hangzhou the prices have unanimously dwindled by RMB 40 per tonne to peg at RMB 19,160 per tonne. Tianjin and Linyi region have seen the downfall in prices by RMB 20 per tonne and 30 per tonne, both standing at RMB 19,210 per tonne. On the same day, the prices in Shenyang and Chongqing have slipped by RMB 40 per tonne and RMB 20 per tonne to settle at RMB 19,130 per tonne.

Other prices:

The low carbon aluminium price has also witnessed a downfall by RMB 28 per tonne to reside at RMB 19,993 per tonne. The prices of raw materials like bauxite remain the same for over two weeks. Alumina price has also seen no change.

The price of high-purity aluminium (99.99%) has also remained unchanged in the starting of this week.

Aluminium alloy ingot prices:

Aluminium alloys (ADC12) price has seen no change across all the regions of China. Only aluminium alloy (A356) and aluminium alloy (A360) is down by RMB 50 per tonne, positioning its price between RMB 19,400 per tonne to 19,800 per tonne and RMB 19,850 per tonne to RMB 20,050 per tonne respectively. The prices for (A356) settled at RMB 19,600 per tonne and for (A360) it arrived at RMB 19,950 per tonne.

Market analysis:

The consistent reduction in aluminium prices can be attributed to several factors, including increased domestic production which has counterbalanced some demand pressures.