LME aluminium prices softened on September 22, with the cash and three-month contracts declining from the previous trading session, while LME aluminium opening stocks also edged lower on September 23. On September 22, the LME aluminium cash bid price stood at USD 3,240 per tonne, down 0.66 per cent from USD 3,261.5 per tonne on September 21. The cash offer price was USD 3,242 per tonne , down 0.63 per cent from USD 3,262.5 per tonne. The LME aluminium 3-month bid price stood at USD 3,263.5 per tonne on September 22, compared with USD 3,272.5 per tonne on September 21, representing a decline of 0.28 per cent. The 3-month offer price fell 0.27 per cent to USD 3,264 per tonne from USD 3,273 per tonne. Explore the production, demand and consumption forecasts of bauxite and alumina in our...
SHFE aluminium closed at RMB 24,245 per tonne, edging up 0.02 per cent. The price stood above the MA10 (24,236) but was capped by the MA5 (24,386), still well above the MA30 (24,084) and MA60 (23,729.92). The medium-term bullish structure remained intact, while short-term moving average resistance was evident. On the MACD indicator, DIF stood at 102.44 and DEA at 125.85, with the high-level death cross persisting. The green bar narrowed to -46.80 (previous day -50.36), indicating slightly weakening bearish momentum. Trading volume shrank to 52,300 lots, reflecting a strong wait-and-see sentiment in the market. The suggested core trading range for SHFE aluminium is 24,000-24,600. LME aluminium closed at USD 3,266 per tonne, up 0.21 per cent. The price was slightly below the MA5 (3,275.6)...
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Vedanta has reduced its aluminium products price for the second time in a row. With effect from Friday 26 June 2020, the prices of some aluminium ingots are in the range of INR 133,750-146,750 per tonne. This marks a drop of INR 2000 per tonne or 1.47% from INR 135,750-148,750 per tonne on June 25. With the latest decline, Vedanta’ billet now stands at INR 141,750 per tonne on June 26, down INR 2,000 per tonne or 1.39% from INR 143,750 per tonne on June 25. The Indian aluminium producers generally link prices of its products to the three-month futures of aluminium on London Metal Exchange. The three-month futures of aluminium have been declining due to slower global demand following the coronavirus outbreak. Vedanta Limited cuts its aluminium Cost of Production (CoP) in the fourth quarter...
An investigative report published by the Reuters News Agency on Wednesday, June 24, claimed that Iran had been secretly producing aluminium powder for using in missile programme. On the basis of testimony from a former Iranian government official and documents, former senior Tehran official shared with Reuters that Iran’s Revolutionary Guards Corps had been running a facility for the past five years to produce the military-grade material. The facility is located near the city of Jajarm in North Khorasan province in northeast Iran, near the country’s largest deposit of bauxite. The report states that Iran is secretly producing aluminium powder amidst international sanctions designed to block its efforts to acquire advanced weapon technology. Aluminium powder is produced from bauxite and is...
On 25 th June, Piyush Goyal, Indian Minister of Commerce and Industry said: “Will be talking to USTR Robert Lighthizer in the next few days to quickly wrap up initial aspects of the proposed trade deal, which is under negotiations.” “India and the US are negotiating a trade deal to iron out differences and promote two-way commerce.” The Commerce and Industry Minister stated that he is in regular dialogue with US Trade Representative (USTR) and US Commerce Secretary Wilbur Ross. Piyush Goyal said: “I think Mr Wilbur Ross and I will be meeting with businessmen of both the countries sometime in the middle of July and going to be talking to my US counterpart also in the next few days… to quickly wrap the first immediate aspects of the trade deal that is already in discussion and look forward...
Benchmark aluminium price on the London Metal Exchange dropped 1.31 per cent to US$ 1543.50 per tonne on Thursday, June 25, from US$ 1564 per tonne on Wednesday, June 24. As of Thursday, June 25, LME aluminium cash (bid) price and LME official settlement price slipped by US$ 20.5 per tonne to stand at US$ 1543.50 per tonne. 3-months bid price and 3-months offer price stood down by US$ 23 per tonne to US$ 1563.50 per tonne, while Dec 21 bid price and Dec 21 offer price came in at US$ 1666 per tonne compared to US$ 1688.50 per tonne on Wednesday, June 24. The LME aluminium opening stock totalled 1637750 tonnes, up by 23,650 tonnes from June 24. Live Warrants stood at 1456050 tonnes, while Cancelled Warrants 181700 tonnes. LME aluminium 3-months Asian Reference Price hovered at US$...
Fitch Ratings has affirmed Chinese aluminium producer China Hongqiao Group Limited's Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'BB-'. The Outlook remains Stable. Hongqiao's ratings indicate its position as one of the world's largest aluminium smelters, with a competitive cost base braced by sizeable economies of scale and low input costs. Hongqiao's ratings are constrained by a possible surcharge on its captive power-generation assets, which could significantly increase its production costs. The Stable Outlook exhibits the expectation that Hongqiao's industry-leading profitability will allow it to maintain net leverage at a level that is comparable with its rating, even against the current backdrop of weakened domestic economic activity and depressed commodity prices. A...
Unifor, the general trade union in Canada and the largest private-sector union in Canada, believes that threats by the American administration to impose new rates on Canadian aluminium are "intimidation tactics" and implores the Trudeau government not to give in. There is a possibility of re-imposing Canadian aluminium tariffs if Canada declines to cut exports south of the border. On 24 th June’20, Unifor has urged the Canadian Government to stand strong against what it calls a “disinformation campaign”. The American Primary Aluminum Association (APAA), that represents Century Aluminum Company and Magnitude 7 Metals LLC, demanded tariffs of 10%, contended that an increase in aluminium coming from Canada has caused prices to fall. Jerry Dias, National President, Unifor wrote a letter to...
According to the latest data revealed by the International Aluminium Institute (IAI), the GCC countries in May 2020 produced 496,000 tonnes of primary aluminium, compared to 483,000 tonnes in April. This means the GCC countries saw a month-on-month rise of 13,000 tonnes or 2.69 per cent in aluminium production in May. However, GCC's primary aluminium production in April stood down month-on-month by 16,000 tonnes or 3.21 per cent, following growth in March. From 473,000 tonnes in February, the aluminium output in GCC countries grew by 26,000 tonnes or 5.50 per cent to amount to 499,000 tonnes in March. In January, the production was 498,000 tonnes, meaning a month-on-month decline of 25,000 tonnes or 5.02 per cent in February. The above data indicates that GCC countries saw a downfall in...
China’s giant aluminium production sector looks like being untouched by the COVID-19 crisis, according to an observation by a columnist for Reuters. The country’s annualised production has increased by 718,000 tonnes over the first five months of 2020, as per the latest estimate from the International Aluminium Institute (IAI), bringing its share to the world aluminium output to 57 per cent in May. But in contrast, the annualised aluminium production in the rest of the world has decreased by 612,000 tonnes over the same period (January-May), owing to restricted movements and low international prices, which have led many smelters to close or curtail their productions. China is already the world’s largest aluminium producer and it dominance over the world is less likely to not increase in...
Czech Republic’s largest sector is the automotive industry. The Czech industry produces mainly electrical, electronic and optical equipment, as well as cars, transport vehicles and machines. Most of the produced components are exported abroad - an important revenue factor for the Czech Republic. The structure of industrial production has changed in the last 20 years. The town Mladá Boleslav, a Czech town in the Central Bohemian region north-east of Prague, is the home of the main plant of the car manufacturer Škoda, the Czech Volkswagen subsidiary. The nation’s aluminium ingot importation during 2017-19 has been recorded at 803,596 tonnes and the revenue expended stood at $1.42 billion. The projected import for 2020 has remained to 255,177 tonnes only and the revenue expenditure might...
North America’s primary aluminium production stood at 346,000 tonnes in May 2020, 6.13 per cent higher year-on-year. The output was 326,000 tonnes in May 2019. On a month on month basis, the output rose by 3.9 per cent from April’s production of 333,000 tonnes. In the first five months of 2020, the production stood 4.65 per cent higher than the same period last year. The output totalled 1.665 million tonnes, from 1.591 million tonnes in the first five months of 2019, according to the latest data showed by the International Aluminium Institute (IAI). In 2019, the output stood at 3.809 million tonnes, an increase of 0.93 per cent from 3.774 million tonnes in 2018. Primary aluminium production in South America decreased by 15.12 per cent year-on-year, but up 2.82 per cent month-on-month to...
Vedanta has cut its aluminium products price on Thursday after raising it by more than 1% on June 18. With effect from Thursday 25 June 2020, the prices of some aluminium ingots are in the range of INR 135,750-148,750 per tonne, marking a decline of INR 2000 per tonne or 1.45% from INR 137,750-150,750 per tonne on June 18. With the latest decline, Vedanta’ billet now stands at INR 143,750 per tonne, a decrease of INR 2000 per tonne or 1.37% from INR 145,750 per tonne on June 18. The Indian aluminium producers generally link prices of its products to the three-month futures of aluminium on London Metal Exchange. The three-month futures of aluminium have been declining due to slower global demand following the coronavirus outbreak. Vedanta Limited cuts its aluminium Cost of Production (CoP)...
Benchmark aluminium price on London Metal Exchange dropped 0.86 per cent to US$ 1564 per tonne on Wednesday, June 24, from US$ 1577.5 per tonne on Tuesday. As of Wednesday June 24, LME aluminium cash (bid) price stands at US$ 1564 per tonne, LME official settlement price stands at US$ 1564 per tonne; 3-months bid price stands at US$ 1586.50per tonne, 3-months offer price is US$ 1586.50 per tonne; Dec 21 bid price stands at US$ 1688.50 per tonne, and Dec 21 offer price stands at US$ 1688.50 per tonne. The LME aluminium opening stock stood at 1614100 tonnes. Live Warrants totalled 1427950 tonnes, and Cancelled Warrants were 186150 tonnes. LME aluminium 3-months Asian Reference Price is hovering at US$ 1591.61per tonne. SHFE Aluminium Price Trend The market will be closed on Thursday and...
Hindalco Industries Limited has again reduced its aluminium prices in line with the market demand and supply, following a hike last week. The company has cut its aluminium ingot price by INR 2000 per tonne or 1.43 per cent, with effect from June 25, to bring down the price at INR 137,500 per tonne from INR 139,500 per tonne on June 18 . With the latest cut, Hindalco's aluminium wire rods and billets prices have come in at INR 148100 per tonne and INR 144100 per tonne, respectively, down by INR 2000 per tonne from INR 150,100 per tonne and INR 146,100 per tonne, as of June 18. The Indian aluminium producers generally link prices of its products to the three-month futures of aluminium on the London Metal Exchange. The three-month futures of aluminium declined more than 11% so far in 2020...
Pierre Fitzgibbon, Quebec's Minister of the Economy said that he is "convinced" that there is no reason for the United States to impose tariffs on its imports of aluminium from Canada. On 23 rd June’20, he said: “Such tariffs would harm our savings; our green aluminium has always allowed a stable supply to the American market. We will continue to defend the interests of our aluminium industry.” The U.S. economic news agency has reported that the Trump administration could impose 10% tariffs on its imports of Canadian aluminium as early as 26 th June’20. Aluminum Association of Canada spokesperson Jean Simard says he is "disappointed" but not "surprised". He said: “What I think is speculative is that we will find ourselves in the situation before the tariffs were lifted. The Americans are...
Africa produced 139,000 tonnes of primary aluminium in April 2020, a decrease of 2.11% from 142,000 tonnes in May 2019. The output climbed by 4.51% from April’s 2020’s production of 133,000 tonnes and 0.72% from March 2020’s production of 138,000 tonnes, according to the latest data showed by the International Aluminium Institute (IAI). Primary aluminium production stood at 673,000 tonnes in the first five months of 2020 as compared to 688,000 tonnes in the first five months of 2019. This marked a decrease of 2.18% year-on-year. IAI reported that primary aluminium production in Africa came in at 1.643 million tonnes in 2019 as compared to 1.668 million tonnes in 2018. That was down 1.5 per cent year-on-year.
China’s estimated aluminium production in May 2020 recorded a growth of 3.60 per cent to stand at 3.105 million tonnes, following a month-on-month drop in April, found the International Aluminium Institute (IAI). In April, China’s estimated aluminium output was 2.997 million tonnes, down by 3.17 per cent from 3.095 million tonnes in March 2020. In February, China had produced approximately 2.909 million tonnes of primary aluminium, meaning the country’s production in March increased by 6.39 per cent. However, China’s estimated production in February registered a decline of 5.43 per cent from 3.076 million tonnes of output in January 2020. On a year-on-year comparison, China’s estimated aluminium production in May increased by 1.64 per cent from 3.055 million tonnes. In the five months of...
On 14 th September’19, the Finance Minister of India, Nirmala Sitaraman announced Remission of Duties or Taxes on Export Products (RoDTEP). The scheme is progressive towards boosting exports and employment generation in various sectors in the country. The RoDTEP scheme will replace the existing Merchandise Exports from India Scheme (MEIS). INR 50,000 Cr. budget provision was kept for RoDTEP by Finance Minister. The Indian cabinet approved RoDTEP Scheme on 13 th March’20. RoDTEP scheme is WTO compliant, will reimburse taxes/duties/levies at the central, state and local level, which are currently not being refunded The sequence of introducing the scheme across sectors, prioritization of the sectors to be covered, degree of benefit to be given on various items within the rates set by the...
Primary aluminium inventories have extended the downfall by 32,000 tonnes over the week ending on Wednesday, June 24, according to Shanghai Metals Market. Data shows the inventories after declining across eight major Chinese consumption areas, including SHFE warrants, have come in at 722,000 tonnes as of today. The reason behind the continued downtrend in inventories this week could be brisk trading ahead of the Dragon Boat Festival holiday from June 25-27. Last week, on Thursday, June 18, the inventories were at 754,000 tonnes after decreasing by 33,000 tonnes week-on-week. The chart below indicates the current status of primary aluminium inventories across China in more details: As the above chart shows, the primary aluminium inventories in Shanghai and Nanhai have declined by 25,000...
