China’s aluminium foil export projected to rebound by 4.88% in 2021 from 1.23MT in 2020

China exported 1.23 million tonnes of aluminium foil in 2020, which reflected a downfall of 4.95 per cent from the exports in 2019, found the customs data. Exports of foil under HS code 76071110 (unprocessed aluminium foil without backing after rolling, thickness ≤0.007mm) totalled 293,400 tonnes in 2020, and exports of foil under HS code 76071120 (unprocessed aluminium foil without backing after rolling, 0.007mm< thickness ≤0.01mm) totalled 74,200 tonnes. The former decreased by 6.69 per cent year-on-year, while the latter dropped by 2.37 per cent.

Exports of foil under HS code 76072000 (unbacked aluminium foil) and under HS code 76071900 (other unbacked aluminum foils) fell by more than 7.5 per cent to come in at 191,800 tonnes and 249,800 tonnes, respectively.

The decrease in China’s export volume could be attributed to shrinking overseas orders as some countries and organisations in recent years have imposed anti-dumping or countervailing measures on China’s aluminium foil products.

China exported the maximum amount of its aluminium foil to India, Thailand, South Korea, Indonesia, Saudi Arabia, the UAE, the United States, Mexico, Japan, and Vietnam among the total 198 countries and regions in 2020.

The monthly average aluminium foil export in 2020 stood at about 100,000 tonnes, 2.5 per cent of China’s annual output. Exports stood at only 59,600 tonnes in February, reflecting a year-on-year decrease of 31.95 per cent and a month-on-month plunge of 51.05 per cent, attributing to the Chinese New Year Holiday and the COVID-19 pandemic. However, exports increased in March to 134,400 tonnes, the highest level in 2020.

Exports in 2021 are expected to rebound to around 1.29 million tonnes, if aluminium prices fall. Food and drug foil are likely to contribute to the rise.