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31 OCTOBER 2019 AL CIRCLE

Prebaked anode price remains restrained despite Weiqiao’s price cut; A00 aluminium ingot price falls by RMB30/t

EDITED BY : DEBANJALI SENGUPTA 2MINS READ

According to Shanghai Metals Market, Shandong Weiqiao Group, the top aluminium producer in China continues to reduce the benchmark purchasing price for prebaked anode for the fifth consecutive month by RMB 100 per tonne. This brought the Weiqiao’s prebaked anode purchasing price for November to RMB 2,800 per tonne in cash, compared with RMB 2,900 per tonne in October.

The benchmark purchasing price in October was RMB 25 per tonne lower than in September. So, the purchasing price in September was at RMB 2,925 per tonne after being reduced by RMB 75 per tonne from August.

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But the further fall of Weiqiao’s prebaked anode purchasing price has not yet affected the spot price of the prebaked anode in China market, found SMM. As of Thursday, October 31, the price has remained unchanged at RMB 3,030 per tonne, since October 8. The average prices are expected to range between RMB 2,900 per tonne and RMB 3,160 per tonne.

Prebaked anode shows restraint

The other input costs have also continued to show restraint, such as alumina at RMB 2,623 per tonne, aluminium fluoride at RMB 9,400 per tonne, and bauxite at RMB 560 per tonne.

Aluminium foil report

However, despite the restraints at all input costs, the spot price of A00 aluminium ingot has recorded a drop from RMB 14,000 per tonne to RMB 13,970 per tonne. The average prices are expected to range between RMB 13,950 per tonne and RMB 13,990 per tonne, with spot contract to be traded at a premium price of RMB 70 per tonne to RMB 110 per tonne.

A00 aluminium ingot price falls by RMB 30 per tonne

In all the major cities, the A00 aluminium ingot price has registered a decline, except in Shenyang where the price has increased by RMB 5 per tonne to RMB 13,950 per tonne. Wuxi has seen the highest fall of RMB 40 per tonne to stand at RMB 13,960 per tonne, followed by Tianjin, Gongyi, and Linyi by RMB 30 per tonne and RMB 25 per tonne to come in at 13,940 per tonne, RMB 13,850 per tonne, and RMB 13,970 per tonne, respectively.


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EDITED BY : DEBANJALI SENGUPTA 2MINS READ

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