SHFE aluminium closed at RMB 24,230 per tonne, edging up 0.02 per cent. The price was capped by MA5 (24,259) but remained above MA10 (24,207) and MA30 (24,088), with the mid-term bullish structure intact. On the MACD indicator, DIF stood at 92.18 and DEA at 118.60, forming a death cross above the zero axis, with the green bars expanding to -52.85, indicating strengthening bearish momentum. Trading volume expanded to 76,000 lots, reflecting widening bull-bear divergence. The core trading range for SHFE aluminium is suggested at 24,000-24,600. LME aluminium closed at USD 3,248.5 per tonne, edging down 0.05 per cent. The price broke below MA5 (3,264.1), MA10 (3,261.37), and MA30 (3,262.88), with short-term moving averages exerting pressure, though MA60 (3,227) still provided support. On the...
LME aluminium prices softened across key contracts on September 23 compared with the previous session, while opening stocks remained broadly stable. The sharpest movement was recorded in cancelled warrants, which declined by more than 20 per cent. The LME aluminium cash bid price stood at USD 3,239.5 per tonne on September 23, down from USD 3,240 per tonne on September 22, a decline of 0.02 per cent. The cash offer price fell to USD 3,240 per tonne from USD 3,242 per tonne, down 0.06 per cent. For the three-month contract, the bid price declined to USD 3,258 per tonne from USD 3,263.5 per tonne, marking a 0.17 per cent decrease. The offer price fell to USD 3,260 per tonne from USD 3,264 per tonne, down 0.12 per cent. The December 2027 aluminium bid price stood at USD 3,180 per tonne,...
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The US dollar held firm above a one-month low against its rivals after a news report on Wednesday from Bloomberg that said the US and China were edging closer to a trade deal. LME base metals, except for aluminium and nickel, drifted higher on Wednesday. The SHFE aluminium dipped 0.07%. Three-month LME aluminium erased earlier gains to its lowest in more than one week at US$1,748 per tonne on Wednesday night, before it recovered some ground to close down 0.54% at US$1,758.5 per tonne. The unwinding of long positions primary accounted for the loss in prices, which bucked the uptrend across most nonferrous metals. As on December 4, Wednesday, LME aluminium cash (bid) price stood at US$ 1770.50 per tonne, LME official settlement price stands at US$ 1771 per tonne; 3-months bid price stands...
China’s largest secondary aluminium producer Sigma Group will reportedly build a liquid aluminium factory in Gongxi, Henan, with an annual capacity of 200,000 tonnes. According to Shanghai Metals Market report, this liquid aluminium will be supplied to the processing plant of Zhongfu Industry, as Sigma and Zhongfu signed a supply agreement on Tuesday, December 3. The factory will be located in Yulian Industrial Park and is expected to be operational in June 2020. Zhongfu’s costs for aluminium deep and precision process are expected to come down by RMB 800 per tonne to RMB 1,000 per tonne once this plant becomes operational next year. According to SMM research, there are 3 million tonnes of aluminium processing capacities in Gongyi, but less than 10 per cent of it uses secondary aluminium....
According to a recent report, Union Petroleum Minister Dharmendra Pradhan has urged the Centre to resume the project for upgradation of infrastructure at Angul Aluminium Park in Odisha. He wrote to Union Commerce and Industry Minister Piyush Goyal seeking his personal intervention to direct the concerned officials to undertake the review of the work done so far. In the letter, he has also requested the Centre to restart the upgradation work with a renewed focus on ironing out bottlenecks for expeditious completion of the project. The letter states: "I also request to restore central assistance to Odisha aluminium cluster at Angul under MIIUS with the objective of enhancing of industrial competitiveness of the aluminium industry by providing quality infrastructure in the cluster which has...
The US dollar extended its decline on Tuesday against a basket of its rivals as disappointing manufacturing data and new developments in global trade tensions rattled greenback investors. LME base metals closed lower on Tuesday and aluminium tumbled 1.3%. The SHFE complex traded mixed overnight and aluminium increased 0.3%. LME aluminium had a bullish run over the day and closed day's trading at US$1802 per tonne. Following the downtrend across the nonferrous complex, three-month LME aluminium retreated from three-week highs on Tuesday night and lost 1.31% to US$1,768/mt. The unwinding of long positions primarily accounted for the loss in LME aluminium overnight. It is expected to trade rangebound between US$1,750-1,800 per tonne today. As on December 3, Tuesday, LME aluminium cash (bid)...
On Tuesday, December 3, the French government announced that the European Union and France are ready to retaliate if the United States proposed tariffs of up to 100 per cent on $2.4 billion worth French goods come into effect. The Trump administration on Monday, December 2, announced to impose harsh penalties on France as its new digital services tax has taken a toll on the United States technology companies. Donald Trump said he would not allow France to take advantage of American companies and that the European Union treats the US very unfairly on trade. Trump also said that he would impose aluminium and steel tariffs on imports from Brazil and Argentina, with an immediate effect. However, French Minister Bruno Le Maire refused to accept the US charges and said the French tax did not...
The undisputable production growth in the global aluminium industry in last one decade has resulted in wide spread Greenfield and Brownfield expansions across the aluminium value chain. The year 2019 also saw many key projects ground breaking, developing and commissioning in the upstream and downstream sector. Most of the projects announced were driven by the upstream integration strategies of the metal producers and downstream expansions to cater to the growing demands and add value to their primary production. We are listing here a few key projects from the upstream sector that were announced and commissioned in 2019: Upstream Segment Guinea Alumina Corporation Emirates Global Aluminium's Guinea Alumina Corporation (GAC ) project is one of the largest Greenfield investments in Guinea in...
Aluminium Bahrain (Alba), the world’s largest smelter ex-China, successfully refinanced its US$1.5 billion syndicated loan facility in connection to the Line 6 Expansion Project. Alba managed to reduce interest margin from 325 basis points over the London Interbank Offered Rate (LIBOR) to 300 basis points over LIBOR. This new facility has an 8-year tenor and the principal amount will be repaid in 16 semi-annual instalments and includes a 6-month grace period. The facility comprises two tranches: a US Dollar-denominated senior unsecured conventional term-loan facility (the Conventional Facility) of US$590.3 million and a US Dollar-denominated senior Shari’ah-compliant facility (the Islamic Facility) of US$909.7 million. Arab Banking Corporation (Bank ABC), Gulf International Bank (GIB) and...
Shares of Argentine aluminium manufacturer Aluar fell more than 10% on Monday after President Donald Trump gave a statement about restoring tariffs on steel and aluminium imports from Argentina and Brazil. Trump announced this in a tweet post earlier on Monday. President of Aluar, Javier Madanes Quintanilla said that the decision of the United States to restore tariffs against aluminium and steel from Argentina will hit the company very hard. He criticised the Government of Mauricio Macri for "ineffectiveness" in its foreign policy. The businessman said that the tariffs will have serious repercussions on the country’s commerce and economy. He pointed towards the government’s inability towards maintaining the international commercial relationship in a way it should have been. Madanes...
The US dollar dropped to the lowest in more than one week on Monday against a basket of currencies after data showed US factory activity contracted in November. LME base metals closed mixed on Monday and aluminium gained 1.8% to become the outperformer. The SHFE aluminium also registered a gain. LME aluminium gained substantially on Monday night. As the greenback dropped, three-month LME aluminium climbed to a three-week high of U$1,793 per tonne on Monday night, before it ended up 1.79% at US$1,791.5 per tonne, standing above all near-term moving averages. LME aluminium is expected to trade between US$1,760-1,800 per tonne today. As on December 2, Monday, LME aluminium cash (bid) price stood at US$ 1789 per tonne, LME official settlement price stands at US$ 1789.50 per tonne; 3-months...
On Monday, December 2, the US President Donald Trump announced to immediately restore aluminium and steel import tariffs on Brazil and Argentina and even harsher penalties of up to 100 per cent against $2.4 billion of French imports, as a retaliatory move against France’s new digital-services tax that has hit the US technology company. The reason cited for the aluminium and steel import tariffs on Brazil and Argentina was the unfair act by the US trading partners to disadvantage the country’s traditional economic pillars as well as its best hopes for future prosperity. Donald Trump tweeted, “Brazil and Argentina have been presiding over a massive devaluation of their currencies, which is not good for our farmers.” He also said the Federal Reserve body should take correct measures to...
A fully integrated Norwegian aluminium company Norsk Hydro announced on Monday, December 2, that it plans to cut 20 per cent production at its majority-owned Slovalco primary aluminium plant in Slovakia. Weak market is one of the reasons for the production cut, said the company. Located at the center of the actively growing aluminium market in Central Europe, Slovalco’s 55.3 per cent of the share is owned by Hydro Aluminium AS, while the rest (44.7 per cent) owned by Penta Investments. In 2018, Hydro had decided to expand remelt operations at its Slovalco plant in collaboration with joint-venture partner PENTA, aiming at producing and supplying the “greenest” aluminium metal in the industry. The expansion was for facilitating production of primary aluminium as well as for serving as a...
Shanghai Metals Market found the social inventories of primary aluminium across eight major consumption areas in China, including SHFE warrants, have extended decline over the weekend by 35,000 tonnes and over the week by 61,000 tonnes to stand at 720,000 tonnes, as of Monday, December 2. This further decline in inventories could be attributed to the fair consumption of primary aluminium against slower arrivals of stocks during the winter heating season. On last Thursday, November 28 , the inventories were at 755,000 tonnes after declining by 26,000 tonnes from 781,000 tonnes on Monday, November 25 . This represents the fact that the decline in primary aluminium inventories rose on Monday, December 2, from the previous week. The chart below shows the current status of primary aluminium...
The dollar gave up early gains to trade slightly lower against a basket of currencies on last Friday as a still unsigned partial US-China trade deal kept investors on edge. But for the month, the dollar index was up 0.9%, its best monthly performance since July. LME base metals closed mixed while the SHFE complex mostly fell. LME aluminium gained 0.5% and SHFE aluminium advanced 0.29%. LME aluminium closed the last week of November with a substantial gain as the cash contract closed at US$1785.5 per tonne on Friday. Three-month LME aluminium hovered within a broad range before ending slightly higher on the day at US$1,760 per tonne, as reduced LME aluminium inventories drove investors to cut bearish position. As on November 29, Friday, LME aluminium cash (bid) price stood at US$ 1785 per...
Aluminium Bahrain (Alba) Chairman Shaikh Daij Bin Salman Bin Daij Al Khalifa said the company’s Line 6 Expansion Project is a game-changer and marks a turning point for Alba and a new era of growth and prosperity for Bahrain. With the inauguration of the Project on Sunday 24 November 2019, Alba has become the largest aluminium smelter in ex-China world. The Line 6 Expansion Project was inaugurated by King Hamad Bin Isa Al Khalifa, the King of the Kingdom of Bahrain. The company is now actively seeking to expand its products’ portfolio and increase sales with a major emphasis on the US market. “24 November 2019 is a historical day for Alba as we were honoured with the presence of His Majesty King Hamad Bin Isa Al Khalifa, the King of the Kingdom of Bahrain, for gracing us with His...
According to Shanghai Metals Market, the prebaked anode price in the east has recorded a decline of RMB 130 per tonne to RMB 2,850 per tonne on December 2, followed by a month-long restraint at RMB 2,980 per tonne. Even throughout October, the price remained unchanged at RMB 3,030 per tonne until registered a drop on November 1 to RMB 2,980 per tonne. The markets in the central and southwest China have also witnessed a decrease of RMB 130 per tonne and RMB 90 per tonne in the prebaked anode price to RMB 2,910 per tonne and RMB 3,330 per tonne. In the northwest, however, the price has shown no sign of change from its month-long price of RMB 3,550 per tonne. The A00 aluminium ingot price, on the other hand, has extended its growth by RMB 60 per tonne to RMB 14,050 per tonne, primarily...
A00 aluminium ingot price started the week higher at RMB 14060 per tonne on Monday, November 25, up RMB 10 per tonne or 0.07 per cent from Friday. But the price witnessed a downward movement in the next two days. The aluminium price stood at RMB 13990 per tonne and RMB 13950 per tonne on November 26 and November 27. The price ended the week higher at RMB 13990 per tonne, up RMB 30 per tonne from its previous price. Source: Shanghai Metals Market As updated by Shanghai Metals Market, the social inventory of primary aluminium continued to decline in the week to Thursday November 28. Primary aluminium stocks across eight consumption areas in China, including SHFE warrants, dropped by 44,000 tonnes from a week ago to 755,000 tonnes as of Thursday, after a decline of 35,000 tonnes in the...
Two major Indian producers Hindalco and Nalco have raised aluminium prices in the domestic market following the rise in global aluminium price on London Metal Exchange. After cutting prices of aluminium products three times in a row, Hindalco Industries Ltd has increased the prices of its aluminium ingots, wire rods, and billets by more than 1% with effect from November 28. The price for Hindalco aluminium now stands at INR 144,000-154,600 per tonne. The Indian producers generally link prices of its products to the three-month futures of aluminium on London Metal Exchange. So far this quarter, the three-month futures of aluminium are up nearly 4% on the London Metal Exchange. Shares of Hindalco Industries closed at INR 204.10 on the National Stock Exchange. Similarly, National Aluminium...
A report from Shanghai Metals Market said that Shandong Weiqiao Aluminium and Electricity, a subsidiary of China Hongqiao Group, would move 2.03 million tonnes of capacity from Binzhou of east China’s Shandong province to south China’s Yunnan. The news was confirmed from an official notice on Weiqiao’s capacity swap by Shandong’s department of industry and information technology on Thursday, November 28. A number of Chinese aluminium producers, including Aluminum Corp of China and Henan Shenhuo, have been focusing on Yunnan, because of the easy access to cleaner hydropower for the energy-intensive smelting process, for which Chinese aluminium producers use coal powered electricity. An earlier news report said China Hongqiao Group was planning to set up a “green aluminium” industrial park...
