China’s aluminium billet inventories continue to increase this week by 3,900 tonnes on higher stock arrivals

According to the Shanghai Metals Market, China's aluminium billet inventories have continued to increase this week ending on Thursday, September 24, marking the fourth consecutive week of rise. The inventories are now standing at 71,500 tonnes after gaining 3,900 tonnes over the week across five major Chinese consumption areas. Arrivals of higher stocks have led to the hike in inventories this week.

The chart below indicates the current status of aluminium billet inventories across China in more details:

In Foshan and Nanchang, aluminium billet inventories have increased by 5,100 tonnes and 2,610 tonnes to stand at 24,900 tonnes and 19,910 tonnes, respectively, show the SMM data. But in other Chinese cities such as Huzhou, Wuxi, and Changzhou, aluminium billet inventories have shrunk by 2,000 tonnes, 1,100 tonnes, and 700 tonnes, respectively. Thus the stocks in Huzhou have come in at 7,000 tonnes, and that in Wuxi and Changzhou at 11,600 tonnes and 8,100 tonnes, respectively.

Backed on the further hike in aluminium billet inventories, the price of aluminium alloy (A356) has contracted by RMB 300 per tonne to stand at RMB 14,850 per tonne, as of September 24, found the Shanghai Metals Market. Decrease in primary aluminium ingot price is also a reason behind the aluminium alloy (A356) price fall.

However, the prices of aluminium alloys (ADC12) and aluminium alloy (A380) have remained restrained today at RMB 14,800 per tonne and RMB 15,700 per tonne.

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