Futures Market: Overnight, the most-traded alumina 2509 futures contract opened at RMB 3,028 per tonne, with a high of RMB 3,053 per tonne, a low of RMB 2,986 per tonne, and closed at RMB 3,013 per tonne, down RMB 5 per tonne or 0.17 per cent, with open interest at 392,000 lots.
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Ore: As of May 27, the SMM imported bauxite index was reported at USD 73.7per tonne, up USD 0.37per tonne from the previous trading day; the SMM Guinea bauxite CIF average price was reported at USD 74 per tonne, unchanged from the previous trading day; the SMM Australian low-temperature bauxite CIF average price was reported at USD 70per tonne, unchanged from the previous trading day; the SMM Australian high-temperature bauxite CIF average price was reported at USD 65per tonne, unchanged from the previous trading day.
Industry News:
(1) A large alumina refinery in Shandong raises liquid caustic soda purchase price: According to SMM, starting from May 27, a large alumina refinery in Shandong adjusted the purchase price of 32 per cent ionic membrane liquid caustic soda, increasing it by RMB 20 per tonne from the previous basis of RMB 800 per tonne. The ex-factory price under the two-invoice system will be RMB 820 per tonne (equivalent to approximately RMB 2,563 per tonne converted to 100 per cent concentration).
Basis Report: According to SMM data, on May 27, the SMM alumina index had a premium of RMB 234.48 per tonne against the latest transaction price of the most-traded contract at 11:30.
Warrant Report: On May 27, the total registered alumina warrants decreased by 6,891 tonnes from the previous trading day to 143,500 tonnes. In the Shandong region, the total registered alumina warrants remained unchanged from the previous trading day at 601 tonnes. In the Henan region, the total registered alumina warrants decreased by 1,202 tonnes from the previous trading day to 1,799 tonnes. In the Guangxi region, the total registered alumina warrants remained unchanged from the previous trading day at 6,304 tonnes. In the Gansu region, the total registered alumina warrants decreased by 1,201 tonnes from the previous trading day to 5,105 tonnes. In the Xinjiang region, the total registered alumina warrants decreased by 4,488 tonnes from the previous trading day to 129,700 tonnes.
Overseas Market: As of May 27, 2025, the FOB Western Australia alumina price was USD 370 per tonne, with an ocean freight rate of USD 21.40 per tonne. The USD/CNY selling rate was around 7.21. This price translates to approximately RMB 3,270 per tonne for the external selling price at major domestic ports, which is RMB 11.26 per tonne higher than the domestic alumina price. The alumina import window remains closed.
Summary:
Last week, some enterprises in northern China underwent maintenance, while some alumina refineries in southern China completed maintenance, leading to a rebound in operating capacity. Overall, the national alumina operating capacity increased by 1.09 million tonnes MoM last week.
In the near future, some new alumina enterprises are expected to undergo maintenance, while some enterprises are expected to complete maintenance and resume operating capacity. Overall, the operating capacity is expected to continue to rebound slightly.
Driven by news of supply-side disruptions in the bauxite market, bauxite ore prices have risen, and the cost-supporting effect on alumina is expected to strengthen. Coupled with the fact that the short-term fundamentals have not shifted towards a surplus, there is still upward momentum in prices. However, with supply recovery, the rise in alumina prices may encounter resistance, and spot alumina prices are expected to hold up well in the short term.
Note: This article has been issued by SMM and has been published by AL Circle with its original information without any modifications or edits to the core subject/data.
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