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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London Metal Exchange was closed on Monday August 27 due to Summer Bank Holiday. Shanghai Metals Market expects LME aluminium to receive support from higher alumina prices and to trade at US$2,080-2,100 per tonne today. SME and SHFE Aluminium Price Trend The benchmark aluminium price on Shanghai Metal Exchange dropped to US$ 2145 per tonne on August 28, from US$ 2151 per tonne on August 27. The SHFE 1810 contract lost all the gains made since Friday and closed flat yesterday, according to Shanghai Metals Market. It initially hit a low of RMB14,735 per tonne before it found some support at the five-day moving average. The SHFE 1810 contract finally closed at RMB14,735 per tonne. The SHFE 1810 contract rebounded as alumina jumped US$42.5 per tonne to trade at US$623 per tonne at India’s...
The world's biggest aluminium producer China Hongqiao Group announced its results for the first half of 2018. Despite lower revenues, the company reportedly witnessed a surge by 21 per cent in its net profit. In a filing to the Hong Kong stock exchange, the company reported net income of RMB 1.8 billion ($262 million) in the first six months of this year, from RMB 1.49 billion in the previous year. Hongqiao’s revenue dropped on lower aluminium production volumes. The company reported revenue of RMB44.3 billion, down 6 percent from the first half of 2017, Reuters reported. Hongqiao produced 3.187 million tonnes of aluminium alloy products in the first half, down 20.2 per cent year-on-year. Alumina sales increased to RMB4.77 billion in the first six months of 2018, from RMB 970.9 million in...
Aluminium Bahrain B.S.C. (Alba), in line with its commitment to enhance employees’ preparedness for its start-up of Line 6, continued the series of “MJ Preparation Workshop” with another session delivered by Alba’s Deputy Chief Executive Officer, Ali Al Baqali on 14 August 2018 at Alba Club. This strategic workshop is an initiative launched and led by Alba’s Chief Executive Officer, Tim Murray, in order to enhance synergy and alignment amongst employees at all levels. It is based on the biography of the renowned basketball player, Michael Jordan, which highlights his outstanding level of preparation to achieve targeted results. Commenting on this workshop, Deputy CEO, Ali Al Baqali, said: “We, at Alba, believe that the best communication is direct communication. Such tailored workshops...
Mining and metals major Vedanta will invest up to US$8 billion to increase the production of aluminium, zinc, lead and oil over the next three years, Vedanta’s Chairman Navin Agarwal told shareholders at the company’s annual general meeting last Friday. “As India’s largest private oil producer, the company contributes 27 percent to domestic production and aims to take it up to 50 percent in two to three years,” Navin Agarwal said."We are also the largest aluminium producer in the country. This year, we had a record production at our zinc-lead-silver and aluminium businesses. We will be further investing $3-4 billion in these businesses in the next 2-3 years." The company reported record quarterly aluminium production at 482,000 tonnes, an increase of 37% YoY. Vedanta reported revenues of...
The US dollar index fell 0.49% to close at 95.15 as US President Donald Trump criticised the Federal Reserve on interest rate hikes. Base metals rose for the most part except for LME tin and SHFE nickel, according to Shanghai Metals Market. LME aluminium was bolstered by rising base metals contracts to a high of US$2,109 per tonne last Friday night and closed at US$2,084 per tonne. LME official settlement price stood at US$ 2062 per tonne on Friday, August 24 from US$ 2021.5 per tonne on Thursday, August 23. As on August 24, LME aluminium cash (bid) price stands at US$ 2061.50 per tonne, LME official settlement price stands at US$ 2062 per tonne; 3-months bid price stands at US$ 2085 per tonne, 3-months offer price is US$ 2085.50 per tonne; Dec 19 bid price stands at US$ 2120 per tonne,...
The A00 aluminium ingot spot price has extended its surge over the weekend, ending on August 27, from RMB 14610 per tonne, as of August 24, to RMB 14650 per tonne, Shanghai Metal Market found. The average prices are expected to range between RMB 14630 per tonne and RMB 14670 per tonne, with spot prices to settle at RMB 80 to RMB 40 per tonne. In the east and south, the ingot prices climbed RMB 30 per tonne to stand at RMB 14645 per tonne and RMB 14800 per tonne respectively; while in the north, the price registered a growth by RMB 45 per tonne to close at RMB 14615 per tonne. The aluminium ingot price has been rising since the early last week backed on tight supplies to the inventories. Moreover, the forthcoming winter heating season in China have already started resulting in cut down of...
LME aluminium started the week showing restraint with the fall of US dollar; SHFE aluminium stayed rangebound. The US dollar index fell below 96 to the lowest in almost one week at 95.76 on Monday after Federal Reserve took decision to raise interest rates. With the falling dollar, LME aluminium managed to stay up throughout the week starting with US$ 2033 on Monday to US$ 2021.5 per tonne on Thursday. SME aluminium started the week with US$ 2087 and stood at US$ 2121 per tonne on Friday. In a positive update from United Steelworkers officials on Monday, one of two potlines at Century Aluminum's 218,000 mt/year Sebree smelter in western Kentucky idled by a power outage on May 29 mostly restarted and should be fully operational soon. Century Aluminium marked the ceremonial restart of its...
The dollar stopped a five-day losing streak and the euro fell on Thursday. The greenback received a boost from political uncertainty, a new round of trade tariffs and the Federal Reserve's decision to raise interest rates. The dollar index gained 0.57% to close at 95.617. LME aluminium rebounded to an intraday high of US$2,074.5 per tonne and ended Thursday at US$2,070 per tonne. LME official settlement price stood at US$ 2021.5 per tonne, lower from the last closing. Shanghai Metals Market expects it to remain rangebound today with a trading range of US$2,065-2,080 per tonne. As on August 23, LME aluminium cash (bid) price stands at US$ 2021 per tonne, LME official settlement price stands at US$ 2021.50 per tonne; 3-months bid price stands at US$ 2043 per tonne, 3-months offer price is...
The US dollar index closed at 95.075 on Wednesday after it fell to 94.93, the lowest since August 2. LME base metals, except for copper, rose across the board on Wednesday. LME aluminium traded strongly rangebound and closed at US$2,065 per tonne on Wednesday night after closing the day’s trading at US$2038.50 per tonne. We expect it to trade at US$2,060-2,080 per tonne today. As on August 22, LME aluminium cash (bid) price stands at US$ 2038 per tonne, LME official settlement price stands at US$ 2038.50 per tonne; 3-months bid price stands at US$ 2063 per tonne, 3-months offer price is US$ 2063.50 per tonne; Dec 19 bid price stands at US$ 2105 per tonne, and Dec 19 offer price stands at US$ 2110 per tonne. The LME aluminium opening stock dropped to 1102450 tonnes. Live Warrants totalled...
Limited arrivals to the warehouses and active downstream purchases still continue in China, resulting in a week-on-week decline in primary aluminium inventories across eight major consumption areas. Stocks, including the SHFE warrants, shrank 23,000 tonnes from last Thursday, August 16, to stand at 1.74 million tonnes as of today, August 23, Shanghai Metals Market found. This marks a faster week-on-week drop compared to 14,000 tonnes last Thursday. Stringent availability of railroad cars in Xinjiang province could be responsible for the narrow delivery of aluminium ingots from the area. Alongside, active participation from downstream consumers for purchasing primary aluminium, on the event of reduced aluminium prices at the beginning of the week, also contributed to the plunge in...
The US President Donald Trump’s decision to impose 10 per cent higher tariff on imported aluminium seems to now creating a positive impact on the domestic market as one of the renowned American aluminium producers Century Aluminium marks the ceremonial restart today, on August 22, at its Hawesville smelter. The smelter is reopening three potlines that were dormant since 2015. By the end of the year, the smelter is expecting to return to its full capacity with this recommencement and create nearly 300 new American jobs. The officials of the company believe that this could be possible because of the Trump administration’s higher tariff on imported aluminium that sparked the 115 million dollar investment into the Hawesville plant, which is Century Aluminium's largest location. Century’s...
In a letter to Treasury Department Under Secretary David Malpass, the Aluminum Association called on the Trump administration to address China’s structural aluminum overcapacity when meeting with Chinese Vice Minister of Commerce Wang Shouwen this week. Malpass will lead the U.S. delegation in trade talks with China in Washington on August 22 and 23. Illegal government subsidies in China for both primary aluminum and semi-fabricated aluminum products have resulted in significant overcapacity in the market, hurting U.S. workers and threatening the industry’s continued health. Chinese smelters can now make nearly 11 million more metric tons of primary aluminum than China actually consumes. This excess capacity alone is equal to nearly all U.S. aluminum demand. Subsidized overcapacity...
The dollar weakened on Tuesday after US President Donald Trump criticised central bank's interest rate hikes. The dollar index settled at 95.238 after it fell to 95.07, its lowest since August 9. LME aluminium closed the day’s trading at US$ 2040.50, higher than last closing and later strengthened to finish Tuesday at US$2,064.5 per tonne overnight. The contract is expected to trade at US$2,060-2,080 per tonne today. As on August 21, LME aluminium cash (bid) price stands at US$ 2040 per tonne, LME official settlement price stands at US$ 2040.50 per tonne; 3-months bid price stands at US$ 2064 per tonne, 3-months offer price is US$ 2065 per tonne; Dec 19 bid price stands at US$ 2108 per tonne, and Dec 19 offer price stands at US$ 2113 per tonne. The LME aluminium opening stock dropped to...
One of two potlines at Century Aluminum's 218,000 mt/year Sebree smelter in western Kentucky idled by a power outage May 29 is mostly restarted and should be fully operational soon, United Steelworkers officials said Monday. According to one USW official, the potline is about 75% restarted and should reach 100% in the next couple of weeks. A second union official agreed. Both asked not to be identified because the Chicago-based company has not released an official restart update. Century officials could not be reached for comment Monday. During the company's second-quarter 2018 earnings call, CEO Michael Bless said both the Sebree potline and the first of three restarting potlines at the company's 252,000 mt/year Hawesville smelter -- also in western Kentucky -- should be in full...
Backed on continued price growth of alumina and steady movement of other input costs, A00 aluminium ingot spot price today, on August 21, has recorded a sweeping surge to RMB 14550 per tonne, Shanghai Metals Market found. Yesterday, on August 20, the price had shown a little bearish sentiment plunging RMB 40 per tonne from RMB 14360 per tonne to RMB 14320 per tonne. That could be because of the limited arrivals to the inventories but active consumption among the downstream consumers over the weekend. However, today in contrast, the price has recorded a significant growth of RMB 230 per tonne. The average prices are expected to range between RMB 14530 per tonne and RMB 14570 per tonne, with spot discounts to settle at RMB 70 to 30 per tonne. All the major markets in China have witnessed a...
The US dollar index fell below 96 to the lowest in almost one week at 95.76 on Monday after Federal Reserve took decision to raise interest rates. LME aluminium closed the day’s trading at US$ 2033 per tonne yesterday. Then the contract hit a high of US$2,084.5 per tonne during the European session before it finished1.3% higher at US$2,058.5 per tonne during Monday night. We expect LME aluminium to trade at US$2,050-2,070 per tonne today. As on August 20, LME aluminium cash (bid) price stands at US$ 2032 per tonne, LME official settlement price stands at US$ 2033 per tonne; 3-months bid price stands at US$ 2065 per tonne, 3-months offer price is US$ 2065.50 per tonne; Dec 19 bid price stands at US$ 2110 per tonne, and Dec 19 offer price stands at US$ 2115 per tonne. The LME aluminium...
Aluminium Bahrain (Alba), the Bahrain-based aluminium smelter, reports that mid of last week August 15, the company received a high-level delegation from General Electric (GE) Power. The delegation was led by the President and chief executive officer of GE Gas Power Systems (GPS) Chuck Nugent and comprised of top officials of the company. Alba’s deputy chief executive officer Ali Al Baqali, chief marketing officer Khalid A Latif, chief power officer Amin Sultan, chief administration officer Waleed Tamimi along with other officials of Alba received the delegates from GE and briefed them about Alba’s historical background, its achievements and importance to Bahrain’s economy. Al Baqali also briefed about the progress on Alba’s Power Expansion project to GE officials. He said, “Our flagship...
The US dollar index fell to 96.11 on Friday on lower demand for the safe-haven greenback, as traders hoped the upcoming trade talks between the US and China would ease tension. LME aluminium fell to a low of US$2,018.5 per tonne before it regained some losses and closed at US$2,032 per tonne on Friday night. The day's trading closed at US$ 1999 per tonne. As the dollar fell, LME aluminium is likely to rebound and trade at US$2,030-2,060 per tonne today. As on August 17, LME aluminium cash (bid) price stands at US$ 1998per tonne, LME official settlement price stands at US$ 1999 per tonne; 3-months bid price stands at US$ 2025 per tonne, 3-months offer price is US$ 2026 per tonne; Dec 19 bid price stands at US$ 2073 per tonne, and Dec 19 offer price stands at US$ 2078 per tonne. The LME...
