China’s A00 aluminium ingot price stands below RMB19000/t in over four months
According to the Shanghai Metal Market (SMM) survey, China’s A00 aluminium ingot price has witnessed a sharp fall of RMB 260 per tonne from the previous trading day to stand at RMB 18,900 per tonne. After more than four months, the price has pegged below the RMB 19,000 per tonne level. The average prices are expected to range between RMB 18,880 per tonne and RMB 18,920 per tonne, with spot contract to be traded at a discount price of RMB 70-30 per tonne.
With the latest fall, China’s domestic A00 aluminium ingot price has recorded a decline of RMB 390 per tonne W-o-W from RMB 19,290 per tonne and edged a nosedive of RMB 1,210 per tonne compared to the price on July 1. The ongoing surplus market due to subdued demand and increased production has led to this tragic price fall.
Region-wise prices
Since the sharp price fall in A00 aluminium ingot has touched upon all the Chinese provinces, the price in Linyi has plunged by RMB 280 per tonne to RMB 18,930 per tonne. In Foshan, Hangzhou and Chongqing, the price has dwindled by RMB 260 per tonne to settle at RMB 18,780 per tonne, RMB 18,900 per tonne and RMB 18,870 per tonne, respectively. In Wuxi, the price has shrunk by RMB 270 per tonne, averaging at RMB 18,890 per tonne, while the price in Gongyi and Tianjin has decreased by RMB 240 per tonne and RMB 230 per tonne to reach RMB 18,770 per tonne and RMB 18,980 per tonne.
The price of low-carbon aluminium has also suffered a loss of RMB 260 per tonne to RMB 19,733 per tonne, which has demonstrated a week-on-week decline of RMB 384 per tonne or 1.91 per cent from RMB 20,117 per tonne.
Aluminium alloy prices
China’s domestic prices of aluminium alloy (A356) and aluminium alloy (A360) have plummeted by RMB 250 per tonne to stand at RMB 19,350 per tonne and RMB 19,700 per tonne, respectively, as of July 30. The average prices are estimated to range between RMB 19,200-19,500 per tonne and RMB 19,600-19,800 per tonne, respectively.
On the other hand, aluminium alloys (ADC12) price and aluminium alloy (A380) price have dropped by only RMB 50 per tonne to clock at RMB 19,500 per tonne and RMB 20,500 per tonne.
Market analysis
The recent price decrease depicts a market adjusting to a combination of supply-side management and demand fluctuations
LME aluminium price hits over 4-month low owing to lacklustre condition in China; SHFE price loses US$37/t
Next articleMostafa Madbouly & Mohamed Shimi assess progress in Egypt’s key industrial sectors like aluminium
Grow with
AL Circle
