1. Macro perspective The US-Iran conflict entered its second week. After the escort coalition intervened, traffic through the Strait of Hormuz partially recovered, but war risk insurance rates remained elevated. Brent crude pulled back from a high of USD 101 to consolidate around USD 95, with energy cost support weakening from earlier levels but not yet fading. The US Fed delivered a 25bp rate hike at its September FOMC meeting, and the dot plot indicated one more hike may still occur this year. Chair Warsh struck a hawkish tone in his post-meeting remarks, and the US dollar index held at a 13-month high. Next week, attention turns to China's official PMI on September 30, as well as US PCE and non-farm payrolls data during the National Day holiday—with China's market closed for seven days...
According to data released by the General Administration of Customs of the People's Republic of China (GACC), China's total primary aluminium imports reached 185,500 tonnes in August 2026, down 14.65 per cent year-on-year but up 0.16 per cent month-on-month. Total imports for January-August amounted to 1.66 million tonnes, a decrease of 3.41 per cent year-on-year. The 14.65 per cent year-on-year decline in August imports, coupled with a nearly flat month-on-month performance, indicates that imports have not collapsed but rather maintained a steady inflow. In August, China's total primary aluminium exports stood at 21,900 tonnes, down 14.53 per cent year-on-year and 30.48 per cent month-on-month. Cumulative exports for January-August totalled 167,500 tonnes, up 9.26 per cent year-on-year....
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According to an update by Shanghai Metals Market, a carbon plant in Jiaozuo of Henan province that produces anode for aluminium smelting has been asked to cut one-third of its production capacity from November 1 to November 5, 2018. The city has issued a yellow alert to the plant for heavy air pollution on Thursday November 1. A yellow alert is the third most-severe notice in a four-tier-air-pollution response system in China. It is issued when there is severe pollution for a day or heavy pollution for three consecutive days. However, SMM found that the instruction has been issued to the plant even though it already met ultra-low emission standards. On the other hand, local winter cuts would not affect production across alumina and aluminium producers in Lvliang of Shanxi province, as...
According to trade sources both Vedanta and Hindalco have cut prices of their products on Wednesday October 31. Vedanta Ltd has cut prices of aluminium ingots by more than 1% from October 31, after raising the prices of the same products by over 1%, which came after eight consecutive price cuts. With yesterday’s cut, prices of Vedanta’s aluminium ingots stand at their lowest levels since late August. Rates of these products are now down 2% for the third quarter. The three-month aluminium price in London Metal Exchange has fallen 3% since the start of the month and stood at US$ 1966.50 per tonne on October 31. After the cut, the price for Vedanta aluminium ingot stands at INR 163000 (USD2217.78) per tonne, down from INR 165000 (USD2245) per tonne on October 30. Vedanta generates the...
Egypt exported US$25.9 billion worth of goods around the globe in 2017, up by 15 per cent from 2016 to 2017. The country’s non-alloyed aluminium ingot exports have been logging a year-on-year growth over the last three years. Non-alloyed aluminium is used as a raw material for further downstream processing. The top destination of non-alloyed aluminium ingot exports from Egypt in 2017 was Italy. Egypt's exports of non-alloyed aluminium ingot to Italy stood at 37064 tonnes and amounted to US$76 million last year. Egypt exported a total volume of 39547 tonnes non-alloyed aluminium ingots in 2016, which increased 14 per cent year-over-year to reach an estimated 44887 tonnes in 2017. In 2018, the country is forecasted to export 49535 tonnes of non-alloyed aluminium ingots, up 10.3 per cent...
One of the world’s largest mining and resources conference, the International Mining and Resources Conference is being held from October 29 to November 1 at Melbourne, Australia, the leading mining hub of the world. The conference is being attended by over 6,000 delegates from more than 90 countries. The event will bring together decision makers, mining leaders, policy makers, investors, commodity buyers, technical experts, innovators and educators for four days of learning, deal-making and networking. National Aluminium Company (Nalco) has been designated as the representative organisation to set up an India Pavilion and promote “Make in India” during the event. The India Pavilion is showcasing the achievement of India as a hub for mining and mineral resources, highlighting the aluminium...
The US dollar edged up to a fresh 16-month high against a basket of key currencies on Wednesday as the US economy continued to strengthen, putting the greenback on pace for a seventh straight month of gains. Most LME and SHFE base metals ended in negative territory overnight and aluminium lost 0.5%. LME aluminium closed the day’s trading at a new low of US$ 1946 per tonne. It started recovering at night; however, as the US dollar extended its gains, the contract reversed its earlier gains and dropped to US$1,953.5 per tonne. Finally the contract closed at US$1,955.5 per tonne overnight. It is expected to trade at US$1,940-1,980 per tonne today with a strong US dollar. As on October 31, Wednesday, LME aluminium cash (bid) price stood at US$ 1945.50 per tonne, LME official settlement price...
Social inventories of primary aluminium across major consumption areas in China, including SHFE warrants, dropped some 13,000 tonnes week-on-week to stand at 1.525 million tonnes today, November 1, Shanghai Metals Market found. This decline in social inventories could be attributed to molten aluminium consumption replaced by aluminium ingots in the downstream industry. Today, the inventories in Wuxi and Jiangsu reportedly dropped 10,000 tonnes from a week ago and stood at 659,000 tonnes. In Shanghai and Nanhai, Guangdong, the inventories dropped as well, by 2,000 tonnes and 3,000 tonnes W-o-W to settle at 346,000 tonnes and 227,000 respectively, as of today. However, inventories in Gongyi, Henan and Hangzhou, Zhejiang showed an exception by rising from 91,000 tonnes to 95,000 tonnes and...
Vedanta Resources plc's subsidiary Vedanta Limited announced results on Wednesday, October 31, for the second quarter ended 30 September 2018. Metals and mining major reported net profit of INR 1,343 crore in the July-September quarter of 2018, up 34.3 per cent from INR 2045 crore in the July-September quarter of 2017. Revenue stood at INR 22,705 crore, an increase of 5 per cent, as compared with INR21, 590 crore in the same period previous year. The increase in revenue was attributable to higher volumes at aluminium, higher availability at TSPL, acquisition of Electrosteel, currency depreciation and higher commodity prices partially offset by, lower volumes at Zinc India, Zinc International and closure of Tuticorin smelter. EBITDA in Q2 FY2019 was at INR 5,342 compared to INR 5,776 crore...
On Monday, October 29, China’s Ministry of Ecology and Environment (MEE) announced that it would begin the second round of environmental reviews soon. Five inspection teams would settle in Shanxi, Liaoning, Jilin, Anhui, Shandong, Hubei, Hunan, Sichuan, Guizhou and Shaanxi provinces to supervise local environmental conditions and review the implementation of rectification plans that were made during previous environmental checks. The start date and duration of the new round of probes, however, was not revealed then, until the MEE updated us further on Tuesday, October 30. The first round of environmental reviews lasted for about a month in June and covered Hebei, Henan, Inner Mongolia, Ningxia, Heilongjiang, Jiangsu, Jiangxi, Guangdong, Guangxi and Yunnan provinces. According to the...
The US dollar index rose to the highest thus far this year on Tuesday, amid growing signs the US economy is outperforming its peers. US consumer confidence rose to an 18-year high in October, driven largely a robust labour market, suggesting strong economic growth could persist in the near term. Most LME and SHFE base metals ended in negative territory overnight. LME aluminium slid some 0.7%. LME aluminium fluctuated and closed Tuesday's trading at US$ 1952 per tonne, the lowest since August 8, 2017. It recovered some losses and closed the night trading at US$1,965 per tonne. Shanghai Metal Market expects it to trade at US$1,960-1,990 per tonne today. As on October 30, Tuesday, LME aluminium cash (bid) price stood at US$ 1951per tonne, LME official settlement price stands at US$ 1952 per...
As reported by Shanghai Metals Market, A00 Aluminium Ingot prices in China have registered a decline for two days consecutively after a rise. The average price of A00 Aluminium ingot stands at RMB13990 per tonne on Wednesday, October 31, down from RMB 14030 per tonne yesterday. The average prices today are expected to range between RMB 13970 per tonne and RMB 14010 per tonne, with spot discounts to settle at RMB 70 to RMB 30 per tonne. In the east and south, the A00 aluminium ingot prices have also dropped by RMB 65 per tonne and RMB 40 per tonne to settle at RMB 13960 per tonne and RMB 14045 per tonne; while in the north, the price has slipped by RMB 50 per tonne to stand at RMB 14010 per tonne. In east market, the average prices are expected to range between RMB 13930per tonne and RMB...
The US dollar recovered but remained under 97 as concerns before the G20 meeting prompted investors to buy back the currency. At the G20 summit in Buenos Aires on Friday and Saturday, the US President Donald Trump and China President Xi Jinping are scheduled to discuss trade issues after months of tension between the world's two biggest economies. After falling to a new low, LME aluminium recovered some losses and closed Thursday’s trading at US$ 1933 per tonne. However, the contract failed to stand firm above the 10-day moving average at night with resistance at the 20-day moving average. The contract is likely to trade at US$1,920-1,940 per tonne today. As on November 29, Thursday, LME aluminium cash (bid) price stood at US$ 1931per tonne, LME official settlement price stands at US$...
The US dollar recovered but remained under 97 as concerns before the G20 meeting prompted investors to buy back the currency. At the G20 summit in Buenos Aires on Friday and Saturday, the US President Donald Trump and China President Xi Jinping are scheduled to discuss trade issues after months of tension between the world's two biggest economies. After falling to a new low, LME aluminium recovered some losses and closed Thursday’s trading at US$ 1933 per tonne. However, the contract failed to stand firm above the 10-day moving average at night with resistance at the 20-day moving average. The contract is likely to trade at US$1,920-1,940 per tonne today. As on November 29, Thursday, LME aluminium cash (bid) price stood at US$ 1931per tonne, LME official settlement price stands at US$...
Aluminium Bahrain (Alba) has secured a long-term agreement with Italian fluorochemicals producer Fluorsid S.p.A. for the supply of smelter grade Aluminium Fluoride (ALF3). Fluorsid will meet the bulk of Alba’s yearly ALF3 requirements for its annual metal production. Alba said the deal comes as part of company’s Line 6 Expansion project, the world’s largest smelter with a total production of 1.5 million metric tonnes with the ramp-up of Line 6. Alba’s Chief Executive Officer Tim Murray said: “Alba has a long-strategic partnership with Fluorsid spanning over decades. We are pleased to know that Fluorsid is establishing its regional warehouse in Bahrain and closer to Alba plant. This agreement will strengthen our collaborative relationship and enable us to continue to offer the best value...
Juan Carlos Baker, Mexico’s deputy commerce minister said that Mexico won’t sign the new North American free trade agreement (USMCA) unless the U.S. removes steel and aluminium tariffs on Mexico and Canada. Lawyers are finalizing the text of the United States-Mexico-Canada Agreement and the three countries are expected to sign the document on Nov. 29 or Nov. 30. However, Mexico insists on removing the tariffs before the signing of the agreement. Echoing what the Canadian counterpart had said, Baker said Mexico won’t agree to any quota system on imports as proposed by the U.S. He made the statements during a meeting hosted by Canada in Ottawa on reforming the World Trade Organization. The trilateral trade agreement was struck before a deadline imposed by the U.S. Congress. The Prime...
Following the request by the aluminium industry to increase import duties on both primary aluminium and aluminium scrap, the Indian government is now reportedly thinking to take it into consideration, sources said. The aluminium industry players have demanded a hike in import duties because of the incessant growth in inward shipments of primary and secondary aluminium to India, sources said further. Vedanta Group Chairman Anil Agarwal has also urged the government to increase the import duties to 10 per cent, noting that India is becoming a dumping ground amid ongoing tariff war between the United States and China. Currently, the basic customs duty on aluminium scrap and primary aluminium is 2.5 per cent and 7.5 per cent respectively. Besides, the industry has also urged the government to...
European aluminium industry was reeling under pressure when Trump decided to place strict tariffs on imported steel and aluminium in March. However, a Wall Street Journal report says, European aluminium companies have not yet felt much pain over the tariffs. Imports still account for majority of aluminium consumed in the U.S., according to the U.S. Geological Survey. Norway’s Norsk Hydro ASA, one of the world’s largest aluminium producers, with U.S. operating revenue of NOK 13.2 billion in 2017, said they could pass the tariff through to their U.S. customers. According to company spokesperson Halvor Molland the company hasn’t seen much impact from the tariff. Christian Wellner, executive board member of Germany’s GDA association of aluminium companies said German aluminium companies are...
The dollar edged higher against the euro on Monday. The dollar added to recent gains against other major currencies, supported by robust US consumer spending data on Monday. Both LME and SHFE base metals ended in negative territory across the board overnight. LME aluminium closed Monday’s trading at US$ 1980.50 per tonne, higher from Friday’s closing price of US$ 1961 per tonne. Then the contract ended near its day-lows of US$1,978 per tonne overnight. It is likely to remain weak today with a trading range of US$1,980-2,010 per tonne. As on October 29, Monday, LME aluminium cash (bid) price stood at US$ 1980 per tonne, LME official settlement price stands at US$ 1980.50 per tonne; 3-months bid price stands at US$ 2000 per tonne, 3-months offer price is US$ 2000.50 per tonne; Dec 19 bid...
After a rise over the weekend in A00 aluminium ingot price from RMB 14090 per tonne to RMB 14120 per tonne, today, on October 30, it again registered a drop by RMB 90 per tonne to stand at RMB 14030 per tonne, Shanghai Metals Market found. The average prices are expected to range between RMB 14010 per tonne and RMB 14050 per tonne, with spot discounts at RMB 70 per tonne to RMB 30 per tonne. Over the last two weeks it was found that the primary aluminium price had dropped at almost every alternate day. The maximum drop it registered towards the beginning of the month after the market opened post National Day Holiday. Between 10 th of October and 15 th of October, the aluminium price plunged straight from RMB 14480 per tonne to RMB 14100 per tonne, according to SMM. Since then, the price...
