China’s aluminium wire and cable export volume records an 8% growth through 2023, but export value manifests otherwise

China’s aluminium wire and cable exports in December 2023 amounted to 17,000 tonnes, reflecting a year-on-year increase of 25 per cent and a month-on-month downfall of 9 per cent, showed China customs data. The value of the export was $50.14 million, down 8 per cent M-o-M and up 16 per cent Y-o-Y.

The total volume of exports through 2023 was 191,700 tonnes at a value of $0.573 billion. The export volume registered an annual hike of 7.94 per cent from 177,600 tonnes, but the value stood at 0.072 per cent down.

Jiangsu, Henan, and Hebei remained the top three Chinese provinces exporting aluminium wire and cables. In 2023, the provinces exported 131,500 tonnes, accounting for 68.61 per cent of the total exports. Jiangsu exported 71,300 tonnes, accounting for 37 per cent; Henan exported 40,000 tonnes, accounting for 21 per cent; and Hebei Province exported 195,000 tonnes, accounting for 10 per cent of all.

Aluminium wire and cable exports from Jiangsu stood 17 per cent up year-on-year, while those from Henan and Hebei recorded a 65 per cent hike and 37 per cent fall, respectively.

As for export destinations, Southeast Asia was the largest through 2023, including the Philippines, Vietnam, Myanmar and Bangladesh, with an import volume of 32,741 tonnes, accounting for 17.1 per cent, followed by the African region, namely Ghana and Nigeria, importing 18,582 tonnes, accounting for 9.7 per cent.

The decline in 2023 export value could be attributed to the downward trend of aluminium prices. The average price of China’s domestic A00 aluminium was RMB 18,699 per tonne, down by 6.2 per cent Y-o-Y. In addition, the decline in processing fees due to intensified domestic competition also impacted China’s aluminium wire and cable export value.

The demand for aluminium wire and cables is expected to increase in 2024, driven by the development of new energy industries in Europe and the United States and the development of mineral resources and low-end manufacturing in emerging markets. Hence, the export order is likely to rise in the following months.