Primary aluminium inventories in China recorded a 5-year low last week at 525,000 tonnes

According to the Shanghai Metals Market data, social inventories of aluminium ingot totalled 525,000 tonnes across eight major Chinese consumption areas, including SHFE warrants, as of Thursday, August 3. On a week-on-week basis, the inventories dropped by 11,000 tonnes, and on an annual basis, they fell by 153,000 tonnes, coming to a five-year low.

Cargo arrivals in major markets remained low than expected as August began, while cargo pick-up from warehouses stood stable, allowing stocks to drop.  Gongyi, Tianjin, and Hangzhou primary contributed to the weekly drop, while other provinces recorded no change in inventories.

To know more about the current status of primary aluminium inventories across China, refer to the chart below:

In Gongyi and Tianjin, primary aluminium inventories decreased by 6,000 tonnes and 4,000 tonnes, respectively, to come in at 69,000 tonnes and 65,000 tonnes, as of August 3, followed by the decline of 3,000 tonnes in Hangzhou to 58,000 tonnes, found SMM.

Nanhai, on the other hand, gained 2,000 tonnes over the week to total 132,000 tonnes. In Wuxi and Shanghai, primary aluminium inventories stood restrained at 131,000 tonnes and 42,000 tonnes, while that in Linyi and Chongqing remained muted at 25,000 tonnes and 3,000 tonnes, learned SMM.  

Sourced from Shanghai Metal Market (SMM)