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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Brazil, the world’s third-largest producer of bauxite and alumina will host 2018 ExpoAlumínio International Aluminum Exhibition on September 3 to 5 to present the full potential of sector companies and buyers in Brazil and in all of Latin America. The event will provide a platform for the innovations, experiences, and content directed at the entire aluminum production chain, from bauxite to recycling. More than 140 local and international names from the aluminum supply chain are expected, including the segments of machinery, equipment, accessories, raw materials, semi-manufactured goods, processed goods, recycling, general services, and consulting. Among the companies that have confirmed their presence are: Alcoa, CBA, Hydro, Novelis, Prolind, Tomra, Italy’s Europiante, and many others....
The US dollar inched down to close at 94.58 on a stronger Euro before the US Independence Day holiday. Despite that base metals went down on worries over global trade conflicts and weak Chinese manufacturing data released earlier this week. The LME aluminium contract closed slightly higher at US$ 2165 per tonne yesterday July 3 from US$ 2153 per tonne on July 2. However, the contract plummeted to a low of US$2,083 per tonne from a high of US$2,135 per tonne overnight. Shanghai Metals Market expects it to trade at US$2,077-2,117 per tonne today. As on July 3, LME aluminium cash (bid) price stands at US$ 2163 per tonne, LME official settlement price stands at US$ 2165 per tonne; 3-months bid price stands at US$ 2132 per tonne, 3-months offer price is US$ 2132 per tonne; Dec 19 bid price...
White House spokeswoman Sarah Sanders told a media briefing on Monday, July 2, that Canada’s measures to impose tariffs on imports of aluminium, steel and other products from US worth C$16.6 billion ($12.63 billion) in response to U.S. tariffs on Canadian aluminium and steel will not help Canada’s economy, Reuters reported. “Escalating tariffs against the United States does nothing to help Canada. It only hurts American workers,” Sarah Sanders said. “We’ve been very nice to Canada for many years, and they’ve taken advantage of that - particularly advantage of our farmers,” Sanders said. “The president is working to fix the broken system, and he’s going to continue pushing for that.” Canada’s retaliatory tariffs on US products went into effect on Sunday, July 1.The Government of Canada...
The Indo-Italian MetalHub , a one day event, which was designed to encourage cooperation between the Indian and Italian industrial metals districts, was held in Milan on July 2. This marked another step towards the cooperation between the technical excellence of Italy and the mineral richness of India. The initiative was dedicated to the industrial and mineral resources of India and with a special focus on the State of Odisha in Eastern India, where a large part of India’s mineral and metallurgical resources are concentrated. Odisha’s Industries Minister Ananta Das and his delegation met the top industrialists of Italy in Milan during the event. The delegation included industries secretary Sanjeev Chopra and chairman of the Odisha Industrial Development Corporation Sanjay Singh. Das also...
As per the data by Shanghai Metals Market, total costs for primary aluminium plunged to 3.6 per cent in June, compared to the month ago. Until the end of June, total costs for primary aluminium stood at RMB 13942 per tonne, with the average price hovered at RMB 14221 per tonne throughout the month. Both term and spot prices of primary aluminium lowered in June. Alumina costs and pre-baked anode costs for primary aluminium declined 8.1 per cent and 3.2 per cent respectively, compared to the previous month. Alumina price averaged at RMB 5505 per tonne. In the background of pre-baked anode price fall in June, Weiqiao Group lowered its purchasing prices for pre-baked anode by RMB 100 per tonne, marking a decline for seven months in a row, SMM learned. Oversupply in the market was also a...
The US dollar index rose above 95 with support from robust manufacturing data in the country. Base metals dipped across the board on strengthened US dollar and weaker Chinese manufacturing data. After trading higher for two days, the LME aluminium contract closed lower at US$ 2153 per tonne yesterday June 2 from US$ 2183 per tonne on June 29. Last night, LME aluminium tested support at the Bollinger lower bands and touched a low of US$2,098 per tonne near closing. Shanghai Metals Market expects the contract to trade at US$2,095-2,125 per tonne today. As on July 2, LME aluminium cash (bid) price stands at US$ 2152per tonne, LME official settlement price stands at US$ 2153 per tonne; 3-months bid price stands at US$ 2129 per tonne, 3-months offer price is US$ 2129.50 per tonne; Dec 19 bid...
Beginning on July 1, 2018, Canada imposed tariffs worth C$16.6 billion (US$12.6 billion) on imports of aluminium, steel and other products from the USA. The Government of Canada announced that the move was in response to the USA tariffs on Canadian steel and aluminium. “Canada has always been a safe, secure and reliable source of steel and aluminium for the U.S. market. The tariffs introduced by the United States on Canadian steel and aluminium are protectionist and illegal under WTO and NAFTA rules – the very rules that the United States helped to write, Foreign Minister Chrystia Freeland said. “It is with regret that we take these countermeasures, but the U.S. tariffs leave Canada no choice but to defend our industries, our workers and our communities, and we will remain firm in doing...
Hydro Energi AS and Tonstad Vindpark AS have signed a contract for the supply of power in the period from 2020 to 2045.The contract will contribute to supplying power to Norsk Hydro’s aluminium plants in Norway. Hydro Energi AS is a wholly-owned subsidiary of Norway’s aluminium company Norsk Hydro. Tonstad Vindpark AS is a planned onshore wind farm in Sirdal and Flekkefjord in southern Norway. “The contract spans for 25 years, for the period 2020 to 2045. Hydro Energi AS will purchase 100% of the actual output of the wind farm and will handle all balancing and nomination from the commissioning of the wind farm and for the duration of the power purchase contract,” according to Hydro press release. Tonstad Vindpark AS is owned by Engie, a French power utility company, and SUSI Partners, a...
The government of Russian Federation becomes the latest entity to file a complaint against the US tariffs on imported aluminium and steel. On Friday night, June 29, 2018, Russian Economic Development Minister Maxim Oreshkin announced that Russia filed a lawsuit to the World Trade Organisation and sent a request for consultations with the United States over Trump’s decision to impose additional metal tariffs on the national security ground. Oreshkin noted that Russian Federation government is now the seventh entity to drag the United States to the WTO, following the European Union, China, India, Canada, Mexico, and Norway. He explained that consultations request with Trump’s administration is Russia’s first step in the process. This would offer a platform to both the governments’...
LME base metals saw mixed trading on Friday June 29. LME aluminium broke the support at US$2,150 per tonne and dipped to a low of US$2,130 per tonne last Friday. The metal closed at US$ 2183 per tonne on Friday, June 29, from US$ 2173 per tonne on Thursday June 28.SMM expects it to cease the downward trend today due to expectations of strong purchasing managers’ index (PMI) from several countries. LME aluminium is likely to trade at US$2,122-2,150 per tonne. As on June 28, LME aluminium cash (bid) price stands at US$ 2182.50 per tonne, LME official settlement price stands at US$ 2183 per tonne; 3-months bid price stands at US$ 2159 per tonne, 3-months offer price is US$ 2160 per tonne; Dec 19 bid price stands at US$ 2183 per tonne, and Dec 19 offer price stands at US$ 2188 per tonne. The...
China’s social inventory of primary aluminium continued to decline over the weekend ended on July 2, 2018, but on a slower rate. According to Shanghai Metals Market, including SHFE warrants across eight major Chinese markets shrank only 9000 tonnes from last Thursday, June 28, to stand at 1.84 million tonnes. Compared to the last Monday, June 25, the inventory today shrank 15000 tonnes, as SMM data showed. A little loss of procurement interest among downstream consumers could be held responsible for this week-on-week slower decline. In Wuxi and Jiangsu, the inventory today stood at 774,000 tonnes, while in Shanghai, the inventory hovered at 429,000 tonnes. In Nanhai and Guangdong and Gongyi and Henan, the inventory rallied at 241,000 tonne and 179,000 tonnes, respectively. More details...
Canada will announce an aid package worth between C$500 million and C$800 million to steel and aluminium companies affected by the U.S. metal tariffs, according to news published by Reuters. Foreign Minister Chrystia Freeland will make the announcement in Hamilton on Friday, 29 June 2018. Chrystia Freeland will also reveal a list of the U.S. - made products that the country intends to subject to retaliatory tariffs, said a source familiar with the matter. These measures are a response to the tariffs Donald Trump imposed on Canadian aluminium and steel imports. Companies like Evraz Plc, Rio Tinto Plc, Algoma Acquisition Corp [ALGMA.UL], Essar Steel Algoma Inc [ESSRGE.UL], ArcelorMittal SA and Alcoa Corporation have operations in Canada, Reuters reported. The Canadian province of Quebec...
On the face of widened spot discounts on Thursday, June 28, traders in the east China aluminium market showed keen interests in purchasing cargoes, according to Shanghai Metals Market. Such high buying interests also spurred trading liquidity. Producers in east China showed interests to offload cargoes for repaying loan interest towards the mid-year while downstream consumption was relatively weak. This widened the spot discounts. In Shanghai, the transactions were done at RMB 14010 per tonne to RMB 14040 per tonne, with spot discounts settled at RMB 90 per tonne to RMB 80 per tonne against the SHFE 1807 contract. The discounts were about RMB 80 to RMB 70 per tonne a day earlier. Transactions in Wuxi and Hangzhou, on the other hand, were heard at RMB 14010 per tonne to RMB 14040 per tonne...
Base metals and LME aluminium fell overnight on growing worries over global trade wars. LME aluminium fell to a low of US$ 2,142 per tonne with open interests up 2,702 lots to 672,000 lots. The metal closed lower at US$ 2173 per tonne on Thursday, June 28, from US$ 2204.5 per tonne on Wednesday June 27. Shanghai Metals Market expects it to trade at US$ 2,140-2,170 per tonne today. As on June 28, LME aluminium cash (bid) price stands at US$ 2172.50 per tonne, LME official settlement price stands at US$ 2173 per tonne; 3-months bid price stands at US$ 2153 per tonne, 3-months offer price is US$ 2155 per tonne; Dec 19 bid price stands at US$ 2275 per tonne, and Dec 19 offer price stands at US$ 2180 per tonne. The LME aluminium opening stock dropped to 1112025 tonnes. Live Warrants totalled...
Russian Prime Minister Dmitry Medvedev said on Wednesday, June 27, that the country plans to launch counter tariffs against the US’ decision of 10 per cent tariff on imported aluminium and 25 per cent on imported steel, TASS reported. Dmitry Medvedev said the U.S. decisions are discriminatory in nature and cannot remain without consequences. The Ministry of Economic Development will make a list of the U.S. made products within a few days. He said: "The countries of the European Union, China have already taken reciprocal steps. We also need to think about introducing retaliatory measures, I ask the Economic Development Ministry to prepare relevant proposals." Earlier this month, Russian Economic Development Minister Maksim Oreshkin announced the measures will only affect products that have...
The incessant price fall of primary aluminium in China and increasing consumption among downstream consumers, as a result, led to the further decline of primary aluminium inventory over this week ended June 28, 2018, according to Shanghai Metals Market. Limited arrivals to the warehouses also contributed to this plunge. As of Thursday, June 28, inventories of primary aluminium, including SHFE warrants, across eight major Chinese markets dropped from 1.87 million tonnes, as of Monday, June 25, to 1.84 million tonnes. Compared to the last Thursday, June 21 when the inventory was at 1.88 million tonnes, the inventory today shrank 40,000 tonnes, as SMM data showed. The inventory in Wuxi and Jiangsu dropped to 777,000 tonnes, while in Shanghai, the inventory dipped to 429,000 tonnes. Nanhai...
Most base metals and LME aluminium rebounded overnight on Tuesday and continued to trade higher as the US softened its approach to investment restrictions on China. LME aluminium surged over 2% recovering all the losses this week and rebounded to between the five- and 10-day moving averages. The contract closed higher at US$ 2204.5 per tonne yesterday, June 27. However, Shanghai Metals Market expects its weak trading pattern to continue trading at US$2,160-2,200 per tonne today. As on June 27, LME aluminium cash (bid) price stands at US$ 2204 per tonne, LME official settlement price stands at US$ 2204.50 per tonne; 3-months bid price stands at US$ 2196 per tonne, 3-months offer price is US$ 2198 per tonne; Dec 19 bid price stands at US$ 2215 per tonne, and Dec 19 offer price stands at US$...
According to the presentation made by the Aluminium Association of India (AAI) and reviewed by Business Standard, the Indian aluminium industry has been suffering over the years because of the unfavourable Free Trade Agreements (FTAs) that allowed China to dump a huge amount of aluminium in India. Hence, as per the Business Standard report, the Indian aluminium companies, including Hindalco and Vedanta have asked the government to place restrictions on aluminium imports from China. Recently, executives from companies had met Department of Industrial Policy and Promotion (DIPP) Secretary Ramesh Abhishek and requested for quantitative restrictions on aluminium imports, which shot up over the past two years, a commerce ministry official said. The AAI sought in the presentation “the...
