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11 OCTOBER 2018 AL CIRCLE

China’s aluminium inventories rise as holiday shipments arrived; Aluminium billets stocks grow on new port inclusion

EDITED BY : HEENA IQBAL 3MINS READ

As reported by Shanghai Metals Market, primary aluminium inventories across eight consumption areas in China, including SHFE warrants, rose by some 23,000 tonnes from Thursday September 27 and 9,000 tonnes from Monday October 8 to stand at 1.613 million tonnes as of Thursday October 11.China’s aluminium inventories grew in the first week after the National day holiday as shipments delivered during the break arrived at warehouses.

In Wuxi and Jiangsu, the inventory stood at 691,000 tonnes; in Shanghai and Nanhai, Guangdong, the inventory came in at 355,000 tonnes and 249,000 tonnes respectively. The current inventory status in the major Chinese cities is as follows: 

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Average A00 aluminium Ingot price plunged by RMB 210 per tonne to RMB 14190 per tonne on Thursday, 11 October 2018. The average prices today are expected to range between RMB 14170 per tonne and RMB 14210 per tonne, with spot discounts to settle at RMB 50 to RMB 10 per tonne.

All the major markets in China also recorded a decline today. In the east market, the price declined by RMB 190 per tonne to stand at RMB 14190 per tonne. The price is expected to range between RMB 14180 per tonne and RMB 14200 per tonne.

In the south and north, the prices fell by RMB 230 per tonne and RMB 210 per tonne to stand at RMB 14240 per tonne and RMB 14200 per tonne, respectively. In south, the price is expected to range between RMB 14220 per tonne and RMB 14260 per tonne; in north, the price is expected to range between RMB 14190 per tonne and RMB 14210 per tonne.

In another update from SMM, inventories of aluminium billet also increased across all the major consumption areas in China today. As of today, October 11, stocks of 6063 aluminium billet stood at 152,000 tonne, up by some 12,500 tonnes from Monday October 8. Nantuo port in Foshan, Guangdong province was a new inclusion in SMM data, and this also accounted for the increase in inventories.

The aluminium billet inventory in Foshan, Guandong stood at 88,100 tonnes; while that in Wuxi, Jiangsu at 21,500 tonnes. For more details, refer to the chart below.

The aluminium alloys (ADC12) spot price declined by RMB 50 per tonne to stand at RMB 15550 per tonne, as of October 11, 2018. Aluminium alloys (A356) price are shrinking over the past two days. On October 11, aluminium alloys (A356) price dropped by RMB 200 per tonne to RMB 14900 per tonne. Aluminium alloy (A380) also recorded a decline by RMB 50 to stand at RMB 16250 per tonne.


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EDITED BY : HEENA IQBAL 3MINS READ

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