Primary aluminium inventories in China gain 12,000 tonnes this week to stand at 737,000 tonnes

According to the Shanghai Metals Market, the social inventories of primary aluminium ingots in China have continued to increase this week ending on Thursday, August 13. Data shows the inventories have built up 12,000 tonnes across eight major Chinese consumption areas, including SHFE warrants, to stand at 737,000 tonnes, primarily driven by significant stock expansion in Wuxi.

On last Thursday, August 6, the primary aluminium inventories had grown by 13,000 tonnes over the week to come in at 725,000 tonnes. The growth in inventories this week marks the third consecutive weekly rise.

The chart below indicates the current status of primary aluminium inventories across China in more details:

As the above chart shows, the hike in primary aluminium inventories this week has not touched upon all the major Chinese markets except Wuxi, Gongyi, and Hangzhou. While in Wuxi, the inventories have grown sharply by 17,000 tonnes to stand at 230,000 tonnes, the stocks in Gongyi and Hangzhou have inched up by only 3,000 tonnes and 1,000 tonnes to hover at 35,000 tonnes and 99,000 tonnes, respectively.

The inventories in Shanghai, Nanhai, and Tianjin have decreased by 6,000 tonnes, 2,000 tonnes, and 1,000 tonnes, respectively, to come in at 108,000 tonnes, 200,000 tonnes, and 57,000 tonnes. In Chongqing and Linyi, on the other hand, the inventories have remained restrained at 3,000 tonnes and 5,000 tonnes.

However, despite the increase in inventories, the A00 aluminium ingot price has climbed up by RMB 170 per tonne to stand at RMB 14,620 per tonne, as of August 13, according to SMM.