Hike in A00 aluminium ingot and aluminium alloy prices indicates growth in demand and purchase

After remaining restrained at RMB 11,220 per tonne on March 24, followed by a havoc downfall of RMB 570 per tonne on the preceeding day, the A00 aluminium ingot price today, on March 25, has gained RMB 110 per tonne to stand at RMB 11,330 per tonne, found Shanghai Metals Market. The average prices are expected to range between RMB 11,310 per tonne and RMB 11,350 per tonne, with spot contract to be traded at a discount price of RMB 110 per tonne to RMB 70 per tonne.

Wuxi and Gongyi have seen the highest rise of RMB 125 per tonne to RMB 11,335 per tonne and RMB 11,375 per tonne, respectively. In Foshan and Chongqing, the price has increased by RMB 110 per tonne to RMB 11,320 per tonne and RMB 11,380 per tonne, and that in Tianjin, Shenyang, and Hangzhou has grown by RMB 90 per tonne, RMB 80 per tonne, and RMB 70 per tonne to stand respectively at RMB 11,360 per tonne, RMB 11,410 per tonne, and RMB 11,380 per tonne.

Backed on the growth in A00 aluminium ingot price, the price of aluminium alloy (A356) has increased by RMB 100 per tonne to RMB 12,050 per tonne.

These rises in primary aluminium ingot price and so in the price of aluminium alloy indicate an improvement in the consumption of the metal, as some aluminium products plants are slowly resuming their operations. Also, the growth rate in primary aluminium inventories reduced on Monday compared with the previous week. While on March 16 and 19, the inventories had gained 38,000 tonnes and 54,000 tonnes, on March 23, the stocks increased by 17,000 tonnes. This could also be attributed to the hike in primary aluminium and secondary alloy prices.

The average alumina spot price, on the other hand, has further dipped by RMB 49 per tonne to stand at RMB 2,449 per tonne, as of March 25. In the east, central, and north, the price has grown by RMB 60 per tonne, RMB 55 per tonne, and RMB 50 per tonne, respectively. Only in the south, the price has remained restrained.