
According to the Shanghai Metals Market survey, China’s metallurgical-grade alumina production in August 2023 stood at 7.017 million tonnes, reflecting a month-on-month increase of 2.15 per cent from 6.869 million tonnes. Daily output also grew by 2 per cent to 226,400 tonnes, driven by new and expanded capacities and increased production due to market recovery.

On a year-on-year basis, the monthly output in August rose by 2.6 per cent, bringing the total production from January to August to 52.69 million tonnes, up by 2.2 per cent Y-o-Y. By the end of August, China’s built and operating alumina capacities came in at 100 million tonnes and 82.74 million tonnes, respectively, with a national operating rate of 82.7 per cent.
In Shanxi, the alumina operating rate rose to 73.2 per cent in August, registering a growth of 4.4 per cent M-o-M. Production commencement at some expanded capacities was the primary reason for the operating rate hike in Shanxi, with full production expected to start in September. In Henan, the operating rate in August was 68.9 per cent – 4.9 per cent more M-o-M.
In Guizhou, on the other hand, some alumina refineries reduced production due to the instability of ore supply, resulting in an operating rate of 83.3 per cent in August, down 1.2 per cent M-o-M. In Hebei, the operating rate decreased by 9.8 per cent M-o-M to 83.3 per cent in August.
In Shandong, the operating rate was steady at 94.4 per cent, while that in Guangxi rose 3.4 per cent to 92 per cent, backed by the gradual release of new capacities.
SMM projects new capacities in Guangxi will continue to start production, and the output in Shanxi will increase, backed by the recent buoyance of spot prices due to active futures and spot trading. Companies in Shandong, Hebei, and southwest China, which underwent maintenance in August, are also likely to resume operations this month. So, the daily output is estimated to reach 229,000 tonnes in September, with a total operating capacity of 83.68 million tonnes, up by 2.3 per cent Y-o-Y.
Source: SMM
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