China’s aluminium semis exports tapered down in August due to weak aluminium foils and strips shipments

China’s aluminium semis exports in August 2023 recorded a drop of 9 per cent month-on-month to reach 439,500 tonnes, according to China customs data. On a year-on-year basis, the exports dwindled by 14.6 per cent.

The declining trend also reflected in China’s total aluminium semis exports in the first seven months of 2023. According to customs data, the aggregated export volume during January-August stood at 3.52 million tonnes, down by 19 per cent from a year earlier.

The drop in China’s aluminium semis exports was mainly due to weak shipments of aluminium plate/sheet, strip, and foil. Exports of aluminium bars and rods remained relatively steady year-on-year.

The recent tariff rise by Mexico and the interest rate hike by the Federal Reserve were primarily the two factors that impacted Chinese aluminium semis exports. Export profits also decreased significantly due to the wide gap between domestic and overseas aluminium prices. Export orders were limited in August, and based on that, it is predicted a narrow month-on-month growth in September.

According to China customs data, the country’s primary aluminium exports stood at 25,000 tonnes in August, registering a month-on-month increase of 12 per cent and a year-on-year hike of 319 per cent. Imports in the said month amounted to 153,000 tonnes, up by 31 per cent M-o-M and 211 per cent Y-o-Y, attributing to an open window that drove more overseas ingot into China.

Source: SMM