Mexico-US trade talks, including discussions on aluminum tariffs , have been delayed, with the fourth round of negotiations now expected to take place in October. The delay comes as both countries manage busy diplomatic schedules. Luis Rosendo Gutierrez, Mexico’s deputy economy minister for foreign trade, said the delay stemmed from scheduling conflicts, including Chinese President Xi Jinping’s planned visit to the United States and the upcoming G20 summit. Although the formal talks have been postponed, technical discussions between Mexico and the US Trade Representative’s Office (USTR) are continuing on a “daily” basis, Gutierrez said. Explore the production, demand and consumption forecasts of bauxite and alumina in our report: " Global Bauxite & Alumina Market Forecast to 2036:...
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...
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According to Gesamtverband der Aluminiumindustrie (GDA), the federation of German aluminium industry, the first half of 2019 saw a mixed bag of business activity development. While primary aluminium producers and processors had to reduce production by 5.6 and 5.4 per cent respectively, aluminium semi-finished products manufacturers increased output by 1.9 per cent year over year. Around 629,200 tonnes of raw aluminium were produced in Germany during January-June 2019, out of which 251,400 tonnes were of primary aluminium and 377,800 tonnes recycled aluminium. Also, producers of aluminium extrusions reported a decline in production in H1 2019 to 282,400 tonnes. The production of metal powder, foil, and thin strip fell as well by 3.7 per cent and 5.1 per cent respectively. Production of...
On Tuesday, a federal appeals court revived aluminium lawsuits by aluminium buyers such as Novelis, Eastman Kodak, Fujifilm and Reynolds Consumer Products, which accused Goldman Sachs, JPMorgan Chase, Glencore and other companies of conspiring to drive up aluminium prices by controlling supply. The 2nd US Circuit Court of Appeals in Manhattan said the case was dismissed erroneously. The aluminium buyers accused banks and commodity trading, mining and metals warehousing companies of conspiring to hoard aluminium inventory earlier this decade, after prices had declined because industrial activity fell during the global financial crisis. The banks and commodity trading, mining and metals warehousing companies were accused of hoarding aluminium inventory earlier this decade when aluminium...
ALUMINUM USA announced on August 27 that it is joining hands with Future Aluminium Forum, an international technology conference covering all topics related to aluminium and the significance of industry 4.0 in the industry. The Future Aluminium Forum will host a discussion session titled “Path to Industry 4.0” in the sideline of the exhibition on September 12, focussing on how the industry is developing smarter technologies across the value chain to accommodate the industry 4.0 framework. ALUMINUM USA is the leading exhibition and conference to highlight aluminium products, technologies and investments in the United States and serves as a platform to bring the aluminium industry together every two years. Panelists will highlight how different sectors are developing digital processes and...
The US dollar held onto gains from the previous session as risk aversion eased on trade hopes and better economic data. The dollar index held above 98 and finished at 98.01. Base metals closed mixed. LME aluminium fell 0.42% and SHFE aluminium advanced 0.28%. After the bank holiday on Monday at LME, the three-month LME aluminium gave up all the gains accumulated overnight on Friday and slid to a low of US$1,758.5 per tonne on Tuesday. The contract then ended down 0.42% on the day at US$1,760 per tonne overnight. With further downside room, it is expected to trade between US$1,740-1,760 per tonne today. As on August 27, Tuesday, LME aluminium cash (bid) price stood at US$ 1743 per tonne, LME official settlement price stands at US$ 1746 per tonne; 3-months bid price stands at US$ 1777 per...
According to Reuters report, the net profit of Aluminium Corporation of China Limited, popularly known as Chalco, fell by 14.1 per cent year-on-year in the first half of 2019, attributing to higher costs that offset an increase in revenue. As per the report, Chalco’s net income came in at RMB 705.8 million during January-June, down from a restated figure of 821.6 million a year earlier. However, overall revenue grew by 15.2 per cent to stand at RMB 94.9 billion despite a 10 per cent decline in the primary aluminium segment. In the second quarter alone, Chalco’s net profit was down by 52.7 per cent year on year to RMB 260.8 million, according to Reuters calculations, while revenue was up 11.3 per cent from the year ago. Chalco said in remarks “Due to the trade friction between China and...
A00 aluminium ingot price has edged higher by RMB 20 per tonne or 0.14 per cent today. As on Tuesday, 27 August 2019, ingot price ranged at RMB 14250-14290 per tonne; the average price stood at RMB 14270 per tonne, from its previous price of RMB 14250 per tonne on August 26. In Foshan and Wuxi, aluminium ingot price has increased by RMB 20 per tonne and RMB 40 per tonne to stand at RMB 14290 per tonne each. Their average price is expected to range within RMB 14270- 14310 per tonne and RMB 14280- 14300 per tonne. Aluminium price in Hangzhou is up RMB 40 per tonne at RMB 14300 per tonne. The average price is expected to range within 14290- 14310 per tonne. Chongqing aluminium price is up by RMB 10 per tonne to RMB 14290 per tonne. Aluminium ingot prices in Shenyang and Tianjin stood at RMB...
The US dollar recovered on Monday from overnight losses after the US and China sought to ease trade war tensions. President Donald Trump said negotiations with Chinese officials would restart soon. Vice Premier Liu He, who has been leading the talks with Washington, said China was willing to resolve the trade dispute through “calm” negotiations. The dollar index edged up and finished at 98.38. SHFE metals ended higher for the most part while the London Metal Exchange remained closed on August 26 for Summer Bank Holiday. SHFE aluminium ended flat yesterday night. Three-month LME aluminium rebounded swiftly after the announcement of higher Chinese tariffs on American goods depressed base metal prices on Friday. It edged higher on the day and closed at RMB 1,767 per tonne on Friday night....
China Hongqiao reported results for H1 2019 on Friday and slashed its 2019 production guidance by up to 300,000 tonnes, or about 5%, after recent flood caused by a Typhoon hit its premises. The company however reported a sharp rise in first-half profits. Hongqiao’s net profit rose by 37.3% YoY to RMB 2.48 billion (US$350.15 million) in the first half of 2019 despite lower aluminium prices. This was against the RMB 648.8 million loss it made a year earlier on disposal of subsidiaries. Operation remained stable during the review period. The claimed largest aluminium producer, which reports earnings half-yearly basis, said revenues decreased by around 6.5% to RMB 41.43 billion. Alumina revenues rose 14.9% to RMB 6.16 billion. Hongqiao’s aluminium alloy production dropped 10.3% in H1 2019...
Shanghai Metals Market data showed that social inventories of primary aluminium across eight consumption areas in China, including SHFE warrants, stood at 1.04 million tonnes as of Monday August 26. Stocks dropped 20,000 tonnes from 1.063 million tonnes as of Thursday August 22. Primary aluminium inventories extended their declines over the weekend as stocks in most areas posted declines. The chart below indicates the current status of primary aluminium inventories across all major China markets: Primary aluminium stocks in Wuxi, Jiangsu and Shanghai dropped 10,000 tonnes and 2,000 tonnes from Thursday August 22 to 311,000 tonnes and 197,000 tonnes as of Monday, 26 August 2019. Inventories in Nanhai, Guangdong dropped 14,000 tonnes to 288,000 tonnes. Gongyi, Henan rose 6,000 tonnes from...
The US dollar dipped broadly on Friday after President Donald Trump ordered US companies to start looking for an alternative to China after Beijing imposed more tariffs on American goods. China announced retaliatory tariffs against about US$75 billion worth of US goods, putting as much as an extra 10% on top of existing rates. The dollar index slipped some 0.6% and finished at 97.65. LME base metals closed mixed while SHFE metals ended mostly lower. LME aluminium edged higher and SHFE aluminium closed flat. Three-month LME aluminium rebounded swiftly after the announcement of higher Chinese tariffs on American goods depressed base metal prices on Friday. It edged higher on the day and closed at RMB 1,767 per tonne, with the trading range expected at US$1,700-1,780 per tonne today. As on...
According to the International Aluminium Institute (IAI), the global aluminium production grew at its slowest pace in a decade in 2018, totalling at 64.34 million tonnes, up by 1.5 per cent from 2017. Most of this production occurred in the first half of the year, while in the second half did no more than flat-line. This was the weakest production performance since 2009, when the industry was hit by the collapse in prices, United States’ sanctions on Rusal, tariffs on aluminium imports, and production cut at multiple smelters. Even China, the world’s dominant producer, ran out of expansion steam last year with growth of 1.6 percent, while the rest of the world managed just 1.4 percent. In Latin America, North America, West Europe, and Africa, the aluminium production even dwindled by 15.5...
Disruptions in two of the Chinese primary aluminium smelters pushed SHFE aluminium prices to a nine-month high this week. Though the exact status of both plants is uncertain, there have been enough speculation and the market is buzzing with a potential supply squeeze. A media report last week said that a wall of one of the Shandong-based group’s aluminium plants was “immediately overwhelmed” by flood water. This statement was issued by Weiqiao Pioneering, which was owned by Zhang family that owns Hongqiao Aluminium. Hongqiao and Weiqiao are considered to be from the same group of alumina and aluminium-producer. This led to a speculation that Hongqiao’s aluminium production could be affected. Hongqiao Group however, denied that flooding in the province of Shandong caused any of its...
According to a Reuters report, Commodity traders Glencore PLC and Trafigura have picked up a 70,479 tonnes of aluminium during an online auction of metal inventory dating back to China's 2014 Qingdao warehousing scandal. This was confirmed by the e-commerce platform that hosted the auction. The aluminium stock, formerly owned by Dezheng Resources was auctioned by the Qingdao Intermediate People's Court on a JD.com site. The company was accused of duplicating warehouse certificates to apply for bank loans. Glencore won the aluminium action at a bidding price of RMB 485.43 million ($68.55 million) in eight consignments totalling 39,745.76 tonnes. The aluminium was in store since 2013-14. The price stands at about RMB 12,213 per tonne, a discount of 14.5% on the Shanghai aluminium closing...
The dollar fell but moved within narrow ranges yesterday. The dollar index slipped some 0.1% and finished at 98.22. Base metals closed lower across the board. LME aluminium slid 0.7%. SHFE aluminium lost 0.5%. Three-month LME aluminium extended its declines overnight and fell to a low of US$1,774.5 per tonne, closing down 0.7% on the day at US$1,778.5 per tonne. The contract is likely to at US$1,700-1,800 per tonne today. As on August 22, Thursday, LME aluminium cash (bid) price stood at US$ 1738 per tonne, LME official settlement price stands at US$ 1739 per tonne; 3-months bid price stands at US$ 1766 per tonne, 3-months offer price is US$ 1766.50 per tonne; Dec 20 bid price stands at US$ 1848 per tonne, and Dec 20 offer price stands at US$ 1853 per tonne. The LME aluminium opening...
Aluminium Stewardship Initiative (ASI) has announced on August 22 that Hydro Aluminium Primary Metal operations in Luxembourg and Norway have been certified against the ASI Chain of Custody Standard. Hydro’s aluminium smelting, re-melting/refining and casthouse activities are certified against the ASI Performance Standard. Hydro has now has the longest chain of ASI certified entities covering its operations from bauxite to downstream products and secondary aluminium productions. The third-party audits of the Primary Metal operations were carried out by DNV GL. ASI’s Standards apply across the supply chain, from mining to downstream sectors that use aluminium in their products. The ASI Standard sets out the benchmarks for the creation of a Chain of Custody across the complete value chain...
Shanghai Metals Market data showed that social inventories of primary aluminium across eight consumption areas in China, including SHFE warrants, stood at 1.063 million tonnes as of Thursday August 22. Stocks increased 12,000 tonnes from 1.051 million tonnes as of Thursday August 15. Primary aluminium inventories rose for a fourth straight week, as some regions saw greater arrivals. The chart below indicates the current status of primary aluminium inventories across all major China markets: Primary aluminium stocks in Wuxi, Jiangsu rose 7,000 tonnes from a week ago to 321,000 tonnes on Thursday, 22 August 2019. Inventories in Shanghai and Nanhai, Guangdong dropped 2,000 tonnes and 14,000 tonnes to 199,000 tonnes and 302,000 tonnes. Gongyi, Henan declined 2,000 tonnes from August 15 to...
Australian miner South32 Ltd has reported a larger-than-expected 25% drop in annual profit driven by lower aluminium prices which was the result of the trade war between China and the United States. The drop in profits sends its shares lower by as much as 5.8% on Thursday, August 22. Results were also negatively affected by lower thermal coal prices. The miner’s fortunes have fallen this year with a decline in aluminium and alumina prices. Prices were under pressure due to a slowdown in China - the world’s biggest consumer of the metal due to the Sino-U.S. trade war. The results were also affected by the falling alumina price. Underlying earnings for the 12 months to June 30 fell to US$992 million (Australian $1.46 billion) from US$1.33 billion in the prior year. Cost cuts could not...
Followed by a drop on August 21 from 14,380 per tonne to RMB 14,320 per tonne, the A00 aluminium ingot price has recorded a rise today, August 22, by RMB 40 per tonne to stand at RMB 14,360 per tonne, found Shanghai Metals Market. The average prices are expected to range between RMB 14,340 per tonne and RMB 14,380 per tonne, with spot contract to be traded at a discount price of RMB 10 per tonne to a premium price of RMB 30 per tonne. In Wuxi, Chongqing, Shenyang, and Gongyi, the ingot prices have grown by RMB 40 per tonne as well to RMB 14,370 per tonne, RMB 14,380 per tonne, RMB 14,260 per tonne, and RMB 14,240 per tonne, respectively. While the A00 aluminium ingot price rise has touched upon all the major Chinese markets today, the prices in Hangzhou, Foshan, and Tianjin have increased...
