According to the Shanghai Metals Market, stocks of 6063 aluminium billet across five major consumption areas in China grew some 2,600 tonnes over the weekend ended on Thursday, December 13 to stand at 120,500 tonnes.
The reason behind this increase in billet inventories could be fewer purchases of building materials and lowered deliveries of stocks by 3,100 tonnes last week, found SMM. The demand from construction sites slowed as Chinese New Year neared.
{alcircleadd}The current status of aluminium billet inventories across major Chinese markets is as follows:
But despite the surge in billet inventories, the aluminium alloys (ADC12) showed no change in price and neither the aluminium alloy (A356) and aluminium alloy (A380). Aluminium alloys (ADC12) price was still found at RMB 15,100 per tonne while aluminium alloy (A356) and aluminium alloy (A380) at RMB 14,200 per tonne and RMB 15,850 per tonne, respectively.
On the other hand, aluminium ingot price showed a rise today, on December 13, but failed to push up the alloys prices. The A00 aluminium ingot price today climbed RMB 10 per tonne to reach out at RMB 13,550 per tonne. The average prices are expected to hover at RMB 13,530 per tonne and RMB 13, 570 per tonne, with spot discounts to settle at RMB 20 per tonne.
In the east and north markets, the ingot prices increased by RMB 25 per tonne and RMB 30 per tonne to stand at RMB 13,560 per tonne and RMB 13,550 per tonne, while in the south, the ingot price showed restraint at RMB 13,680 per tonne.
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