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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SMM statistics showed Aluminum stocks in China’s seven major markets rose again as a result of poor downstream consumption after last week’s big fall. Compared to October 27, on October 30, the inventories in China’s major market have seen a rise: As updated by Shanghai Metals Market, average Prices of A00 aluminium ingot have dropped across all markets for three consecutive days. The price drop is mostly attributed to slow downstream demand. Average A00 aluminium ingot price has dropped from RMB 16,120/t to stand at RMB 16,080/t today on October 31. Other than north China market, aluminium A00 Aluminum prices have dropped from RMB 5/t to RMB 40/t across all markets. In the spot market aluminium is trading at a discount of RMB130-90 /tonne. Base metals are split on Monday’s night trading...
December U.S. dollar index traded lower on Monday, October 30, lifting LME aluminium from its last weekend low. The light metal contract edged higher to close at US$2,143 per tonne after yesterday’s night trading, up from US$2,119 per tonne on October 27. Reuters’ technical analysis suggests that LME aluminium may retest a resistance at US$2,196 per tonne, which means, there is a wide room for the contract to rise in the near term. The price wave pattern also reveals a support at US$2,148 per tonne. A break below this level could cause a loss to US$2,125 per tonne. As on October 30, LME official cash buyer aluminium price (Bid Price) stands at US$2,142 per tonne, cash seller & settlement aluminium price (Offer price) is US$2,143 per tonne, 3M Bid Price is US$2,160 per tonne, 3M Offer...
Aluminum maker Norsk Hydro may restart a mothballed Norwegian production line as global metals markets tighten following a Chinese clampdown on pollution, the company’s chief executive told Reuters. Hydro is considering boosting output at its Husnes plant by some 95,000 tonnes per year, raising the smelter’s utilization to its full capacity of about 185,000 tonnes of primary metal per year, Chief Executive Svein Richard Brandtzaeg said. In total, Hydro expects China to cut its aluminum output by some 1.4 million tonnes next year due to stricter environmental measures to curb pollution during winter. “This has a big impact on the supply-demand balance. Not only in China, but the rest of the world,” Brandtzaeg said in an interview at Hydro’s headquarters in Oslo. He said the firm was...
Aluminium Bahrain B.S.C (Alba) presents its financial results for Q3 and 9 months of 2017. The company’s top-line and bottom-line were driven by higher LME prices and the speed recovery of Line 5 operations. The Company reported a total sale of BD 235.3 million (US$ 625.8 million) IN Q3 2017, up 35% YoY from BD 174.3 million (US$ 463.5 million) in Q3 2016. Total Sales for the nine months of 2017 stood at BD 605 million (US$ 1.609 billion), up by 22% YoY, from BD 496.5 million (US$ 1.32 billion) for the same period in 2016. The Company reported a net income of BD 25.8 million (US$ 68.5 million) in Q3, up 80% YoY from BD 14.3 million (US$ 38.1 million) in Q3 2016. For the 9 months of 2017, net income registered 98% increase YoY to BD 69 million (US$ 183.5 million) from BD 34.8 million (US$...
The London Metal Exchange has laid out the timeline for its plans to reform and reverse declining volumes ahead of an annual gathering of the metals industry in London starting Oct. 30. Discussions during LME Week will range from LME fee cuts to new charges on the use of LME prices for over-the-counter (OTC) transactions and new product launches, including for chemicals used in rechargeable batteries to power electric vehicles. The 140-year-old exchange, the world's oldest and the largest industrial metals market, proposed a sweeping reform programme in September. Its volumes fell 4.3 percent in 2015 and 7.7 percent in 2016. Below is a planned timeline with comments from LME Chief Executive Matt Chamberlain. 2017 FEE CUTS The LME cut fees on short-dated carry trades - trades linking...
According to an SMM update, inventories of aluminium on the SHFE in the week ending Oct. 27 stand at 636,270 tonnes, up 20,900 tonnes from last week. A stronger dollar weighed down base metals on last Friday’s night trading and base metals are expected to trade in a wider range in the short term. Average A00 aluminium ingot price dropped from RMB 16,190/t to stand at RMB 16,120/t on October 30 today. A00 aluminium ingot prices across all individual markets have also dropped consequently. In China, on Monday, the most active SHFE aluminium 1711 opened at RMB 16,120/t after closing at RMB 16,195/t on Friday. SHFE aluminium is expected to move within a range of RMB 16,350-16,550/tonne today. SMM also predicts that despite production controls, aluminium market will face no deficit in 2018....
LME aluminium prices slid on Friday, October 27, reversing the uptrend the light metal has been following, as dollar strengthened towards the end of the week. The greenback hit three-month highs after rallying sharply over the last few weeks. LME aluminium closed at US$2,119 per tonne after Friday’s night trading, down from its earlier close at US$2,175 per tonne on October 26. As on October 27, LME official cash buyer aluminium price (Bid Price) stands at US$2,118 per tonne, cash seller & settlement aluminium price (Offer price) is US$2,119 per tonne, 3M Bid Price is US$2,141 per tonne, 3M Offer Price is US$2,142 per tonne, Dec1 Bid Price is US$2,185 per tonne, and Dec1 Offer Price is US$2,190 per tonne. LME aluminium Opening Stock or the LME aluminium inventory level stands at 1196600...
Sohar Aluminium, the host and organizers of the 2017 Arab International Aluminium Conference (ARABAL), is offering the event’s delegates an opportunity to discover ‘Destination Oman’. In preparation for the industry event, Sohar Aluminium has developed a range of tailored tours, workshops and activities designed to introduce visitors to a destination that is rapidly climbing the ranks in touristic appeal globally. Set to take place each day of the ARABAL conference, the comprehensive range of tours organized by Sohar Aluminium will depart from the Shangri-La Barr Al Jissah to UNESCO World Heritage Sites, national monuments, and the pristine coasts of Oman. The conference delegate spouses are welcome to join the Dolphin Watching & City Tour on November 7th, the Mystical Muscat Tour on...
Century Aluminum Company reported net income of $20.8 million for Q3 2017 in comparison to net income of $7.1 million for Q2 2017. Adjusted net income for Q3 2017 was $14.4 million compared to adjusted net income of $0.8 million for Q2 2017. Results were favourably driven by a $5.5 million non-cash gain and gain relating to LME forward sales. Century reported adjusted EBITDA of $47.9 million, up $13.9 million from the second quarter of 2017 primarily attributable to increased volume, favourable sales mix and lower raw material costs. Total sales value stood at $400.6 million compared with $388.8 million for Q2 2017. Shipments of primary aluminum for the third quarter of 2017 were 184,974 tonnes compared with 182,829 tonnes shipped in the second quarter of 2017. Operating activities...
Chinese aluminium giant Chalco announced an increase in net profit and revenue in the first nine months of 2017. The company’s net profit jumped more than tenfold year-on-year on higher aluminium prices. According to news published by Reuters, Chalco posted 1.36 billion yuan ($205 million) in profit during January- September, from 124.27 million yuan a year earlier. The company said in a filing to the Shanghai stock exchange that its revenue rose 52.5 per cent in the mentioned period. Chalco generated revenue of 139.9 billion in January- September. The company also announced its plans to add 16 billion yuan of investment into five of its subsidiaries. “At present, the company is implementing the relevant decision-making procedures and has not yet entered into any formal agreement with...
As updated by Shanghai Metals Market, average Prices of A00 aluminium ingot have dropped significantly across all markets after rising steadily all through the week. Average A00 aluminium ingot price dropped from RMB 16,270/t to stand at RMB 16,190/t today on October 27. A00 aluminium ingot prices across all individual markets have also dropped consequently. The fall in aluminium A00 Aluminum prices across the various markets in China today are presented in the table below: In China, on Thursday, the most active SHFE aluminium 1711 opened at RMB 16,185/t, went as high as 16,450/t and finally closed at RMB 16,400/t. On Friday, SHFE 1711 aluminium opened at RMB 16,370/t. Mainstream traded prices were RMB 16,160-16,180 /tonne in Shanghai, discounts of RMB140-130 /tonne over SHFE 1711...
With speculations rife on dwindling aluminium and its raw material supplies from China, LME aluminium kept surging higher on Thursday, October 26, and closed at US$2,175 per tonne, up from its previous close at US$2,149.50 per tonne on Wednesday, October 25. The biasness towards and upside was so strong that even a stronger dollar could not weigh on it. To note, the U.S. Dollar Index DXY, +0.14 per cent which tracks the currency’s performance against six major currencies, was one per cent higher at 94.683, hitting its loftiest level since mid-July, MartketWatch reported. Price trend suggests that LME aluminium will continue to trade at highs in the near term. As on October 26, LME official cash buyer aluminium price (Bid Price) stands at US$2,174 per tonne, cash seller & settlement...
The Aluminum Association, in cooperation with the Aluminium Association of Canada, reported primary aluminium production in North America (U.S. and Canada) for the month of September. Production rate for the month of September was at an annual rate of 3,942,596 tonnes during September 2017. Month on month, it was down 17,783 tpy (-0.4%) from the August 2017 rate of 3,960,380 tonnes. The production rate in the U.S. declined eight-tenths of one per cent m/m, while the Canadian rate fell four tenths of one per cent. This drop can be considered as remaining flat for analysis. Compared to a year ago, the North American annual rate was down six-tenths of one per cent from the September 2016 rate of 3,968,038 tonnes. Actual aluminium production through the first three quarters of 2017 stood at...
LME aluminium rallied on Wednesday, October 25, surging to its highest since March 2012. The light metal contract surged amid speculations of dwindling supply from China due to winter capacity cuts, and a weaker dollar before closing down at US$2,149.50 per tonne (up from US$2,144 per tonne on Tuesday, October 24). After a lull of a few weeks, LME aluminium seems to be finally finding a direction. Reuters’ technical analysis suggests that London aluminium price may break above US$2,175 per tonne level triggering another bull run in the near term. As on October 25, LME official cash buyer aluminium price (Bid Price) stands at US$2,149 per tonne, cash seller & settlement aluminium price (Offer price) is US$2,149.50 per tonne, 3M Bid Price is US$2,158 per tonne, 3M Offer Price is US$2,159...
Hydro yesterday announced results for the third quarter of 2017. The company’s underlying earnings before financial items and tax decreased to NOK 2,446 million in the third quarter. Hydro President & CEO, Svein Richard Brandtzæg said, “"We have lifted our global demand estimate for 2017 to 5-6%, indicating a continued strong demand for aluminium. There is a positive market sentiment for aluminium, mainly driven by curtailments of primary production in China, which have supported the market balance in the quarter." "This quarter marks a new chapter in our history, adding Extruded Solutions as a fifth business area in Hydro. We are now 35,000-people strong, with 150 sites all over the world and 30,000 customers throughout the entire value chain of aluminium. We have a global reach as well...
Indian aluminium major National Aluminium Company Limited (NALCO) launched a mobile App ‘NAGINAA’ (NALCO Grahak Information and Networking App for All) on Monday, October 23, in Bhubaneswar, Odisha. With this, the Navaratna PSU has taken customer satisfaction to its next level- customer delight, in perfect alignment with the government’s Digital India vision. NAGINAA was launched by Shri Arun Kumar, Secretary, Ministry of Mines, Govt of India, in presence of NALCO CMD Dr. Tapan Kumar Chand, Shri Subhash Chandra, Jt. Secretary, Ministry of Mines, Dr. N.K. Singh, Jt. Secretary, Ministry of Mines, Shri S. Samantray, General Manager (Marketing) and other officials of NALCO. Developed to enhance customer convenience, the mobile app shall provide details about NALCO, its products,...
Iran has aluminium production capacity of 457,000 ton/year, of which about 437,000 ton/year is operational. According to the latest figures from the customs office, the country produced 128,679 tonnes of aluminium in the first five months of the current Iranian year (ending Aug. 22). Iran’s export of aluminium is estimated to jump in 2017. Top importing countries are Turkey, Taiwan, China, South Korea and India. As shown by our data, in the year 2015, the total aluminium export by Iran was 77236 tons. In 2016, the estimated export was 99023 tons. For 2017, the aluminium export by Iran is estimated to be about 120868 tons. The revenue from aluminium export was US$ 139 million and US$ 164 million respectively for the years 2015 and 2016. The revenue from export is estimated to be about US$...
Emirates Global Aluminium, the largest industrial project in the United Arab Emirates outside oil and gas, has completed a three-year, $300 million project to replace older production lines at its Jebel Ali aluminium smelter with the company’s own UAE-developed technology, boosting production capacity and reducing costs and environmental emissions. The 520 reduction cells at Potline 1 and Potline 3 at EGA Jebel Ali were the company’s oldest and were originally built from 1979. All EGA’s 2,777 reduction cells, the swimming-pool sized tanks in which aluminium is smelted, now run on home-grown technology. EGA produces one tonne in every 25 tonnes of aluminium made worldwide and makes the UAE the world’s fifth biggest aluminium producing nation. Aluminium is the largest made-in-the-UAE export...
