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26 OCTOBER 2018 AL CIRCLE

Chinese A00 aluminium ingot price continues to drop despite alumina price surge

EDITED BY : DEBANJALI SENGUPTA 2MINS READ

The A00 aluminium ingot price in China continues to witness a drop today, on October 26, 2018, even on the backdrop of shrinking social inventories of primary aluminium across eight major consumption areas, Shanghai Metals Market found. The price today has declined RMB 50 per tonne to stand at RMB 14090 per tonne. The average prices are expected to range between RMB 14070 per tonne and RMB 14110 per tonne, with spot discounts to settle at RMB 70 per tonne to RMB 30 per tonne.

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The decline in ingot price has also touched the major markets in China. In the east, the price has plunged RMB 65 per tonne from RMB 14135 per tonne, as on October 25, to RMB 14070 per tonne. In the south and north, the prices have plunged RMB 40 per tonne and RMB 35 per tonne respectively to stand at RMB 14170 per tonne and RMB 14100 per tonne.

On the other hand, alumina price has seen a growth today, although a little but still remained unable to push the aluminium price up. The price has increased by RMB 8 per tonne to stand at RMB 3056 per tonne. The growth in price has touched the market in the north as well. The alumina price there has surged RMB 20 per tonne to stand at RMB 3050 per tonne. Other markets in the east, central, and south have, however, witnessed no change in alumina price today.

Other input costs like prebaked anode and aluminium fluoride have remained unchanged but not the aluminium powder. The latter has slightly inched up by RMB 0.10 per KG to stand at RMB 17.65 per KG. Its average prices are expected to range between RMB 17.50 per KG and RMB 17.80 per KG.

According to another update from SMM, Gansu Dongxing Aluminium, a subsidiary of Jiuquan Iron & Steel, will soon begin its scheduled overhaul.

This overhaul, likely to last into November, is expected to impact the aluminium producer's 180,000-mt capacity in Jiayuguan and 120,000-mt capacity in Longxi.

With continued losses, the aluminium producer is mulling the suspension of operating capacity in Longxi, and cut operating capacity in Jiayuguan to 900,000 mt from 1.35 million mt, after the overhaul.

Tagged with:

Price Alumina price China SMM

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EDITED BY : DEBANJALI SENGUPTA 2MINS READ

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