China’s domestic primary aluminium price has continued to surge by RMB 420 per tonne to stand above RMB 22,500 per tonne after Alpha Conde, president of the Republic of Guinea, got detained by Special Forces in the capital, Conakry. Unrest within Guinea is putting further strain on the market as it supplies more than half of the ore imported by China, the top global producer of the metal. Till July 2021, Guinea supplied China with 55 per cent of its bauxite supply, according to analysts at ING.
As per the latest data shown by the Shanghai Metals Market, A00 aluminium ingot price in China has reached as high as RMB 22,650 per tonne on September 10, with average prices expected to range between RMB 22,630 per tonne and RMB 22,670 per tonne. The spot contract is likely to be traded at a premium price of RMB 80-40 per tonne.
Shenyang has seen the sharpest rise of RMB 475 per tonne to RMB 22,640 per tonne, followed by the hike of RMB 440 per tonne in Linyi to RMB 22,600 per tonne. In Tianjin, primary aluminium ingot price is also standing at RMB 22,600 per tonne by gaining 420 per tonne, while the price in Wuxi has settled at RMB 22,660 per tonne by building up RMB 430 per tonne.
Aluminium alloys prices have increased by RMB 400 per tonne across China. While aluminium alloys (ADC12) price is standing at RMB 22,400 per tonne on September 10, aluminium alloy (A356) price and aluminium alloy (A380) price have closed at RMB 22,400 per tonne and RMB 23,600 per tonne, respectively.
Among primary aluminium input costs, the average alumina spot price has expanded by RMB 7 per tonne on September 10 to peg at RMB 3,196 per tonne. As the military coup in Guinea has impacted the global alumina price, the imported price of the ore in China has climbed by US$59 per tonne to close at US$381 per tonne, learned SMM.
Aluminium fluoride price has jumped by RMB 200 per tonne to come in at RMB 8,300 per tonne, with average prices likely to range between RMB 7,600 per tonne and RMB 9,000 per tonne.
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