According to the Shanghai Metals Market survey, China's aluminium production in March 2024 (31 calendar days) amounted to 3.555 million tonnes, bringing the country's total aluminium output in the year's first quarter to 10.45 million tonnes.
{alcircleadd}On a month-on-month basis, China's aluminium production in March 2024 registered an increase of 6.66 per cent from 3.333 million tonnes. On an annual basis, the output edged a growth of 4.25 per cent from 3.41 million tonnes.
Despite the M-o-M increase in China's aluminium production in March, the domestic daily output stood flat at 114,900 tonnes, suggesting the fact that China's aluminium smelters' daily operating rate recorded no growth in March.
The share of aluminium liquid output rose by 9.6 per cent month-on-month and 1.4 per cent year-on-year to stand at 73.88 per cent. According to SMM aluminium liquid ratio data, the domestic aluminium ingot volume in March was down by 1.24 per cent year-on-year to 928,400 tonnes.
Production capacity
In March 2024, domestic aluminium smelters maintained steady operations, with Yunnan smelters beginning to resume production. But many other smelters were still struggling to restart production or remained closed. For instance, an aluminium smelter in Inner Mongolia was trying to recommence production after it had to shut down its operations due to a power outage. An aluminium smelter in Sichuan with an annual capacity of 125,000 tonnes got closed for maintenance at the end of March until September.
At the end of March 2024, China's domestic aluminium capacity was around 45.19 million tonnes, its operating capacity at 42.1 million tonnes, and the operating rate at 93.15 per cent after growing by 4.39 per cent year-on-year.
Output forecast for April 2024
China's domestic aluminium production will likely remain stable in April 2024 (30 calendar days) as 800,000 kilowatts of power load is allocated to aluminium smelters for production resumption. Aluminium smelters in Yunnan have already begun to resume production and are likely to reach full production by mid-April, which will support China's aluminium output in April.
SMM predicts domestic aluminium operating capacity will increase by 250,000 tonnes to 42.35 million tonnes in April and that the production capacity will be around 3.49 million tonnes.
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