Metallurgical-grade alumina production in China slips by 1.26% to 6.28 million tonnes in January 2022

According to the Shanghai Metals Market, alumina production in China during January 2022 came in at 6.5 million tonnes, of which metallurgical-grade alumina stood at 6.28 million tonnes. That was a month-on-month decline of 1.26 per cent from 6.36 million tonnes of metallurgical-grade alumina.

SMM also showed the average daily metallurgical-grade alumina output was 203,000 tonnes, down by 1.3 per cent M-o-M but 10.4 per cent more on the year. China’s alumina output in January was affected by the air pollution prevention and control policy, which impacted the production stability of roasting machines in Shanxi, Shandong, and Henan.

Nonetheless, the total alumina output in China was offset by stable production in southwest China. Meanwhile, a strong rally of domestic alumina prices since mid-January this year prompted many refineries to produce at or exceed full capacity.

SMM expects China’s net alumina imports at around 200,000 tonnes in January, with surplus of 333,000 tonnes.

China’s metallurgical-grade alumina operating capacity reached 73.95 million tonnes per year as of end-January, with installed-capacity at 93.8 million tonnes per year. But in February, alumina roasting capacity was restricted in provinces like Shanxi, Shandong, and Henan by the intensifying control measures for heavy air pollution. Besides, the new COVID cases in Guangxi have disrupted the production and transportation.

The output of metallurgical-grade alumina is expected to be 5.34 million tonnes in February (28 calendar days).