SMM: Alumina and aluminium ingot pricing gain value on Wednesday market

On Wednesday, December 11, the average price of a00 primary aluminium ingot in the Shanghai Metals Market (SMM) increased by RMB 30 and stood at RMB 20,380 per tonne with a range of RMB 20,360 to 20,400 per tonne. The average pricing of the primary metal ingot has witnessed a depletion of 5.2 per cent M-o-M (average price on November 11, 2024, was RMB 21,490 per tonne) as opposed to the 10.8 per cent hike Y-o-Y (average price on December 11, 2023, was RMB 18,380 per tonne).

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The spot contract was traded at a similar rate to yesterday, with a discount price of RMB 20 per tonne to a premium of RMB 20 per tonne.

Provincial price of primary aluminium ingot

The average A00 aluminium ingot pricing has risen in most of the provinces, with average prices of a00 aluminium ingot listed as RMB 20,210 per tonne (+20) in Gongyi, RMB 20,400 per tonne (+40) in Foshan, RMB 20,430 per tonne (+130) in Wuxi and Hangzhou, RMB 20,380 per tonne (+50) in Chongqing, RMB 20,410 per tonne (+30) in Shenyang, RMB 20,400 per tonne (+30) in Tianjin and RMB 20,260 per tonne (no change) in Linyi. The price range in the provinces varies between RMB 20,190 per tonne to RMB 20,450 per tonne.

According to a recent SMM survey, China's domestic aluminium production was reduced in November 2024 (30 calendar days), recording an M-o-M descent of 3.21 per cent, attributed to environment protection-related controls requiring production lag during the dry season. In addition to production cuts, increased alumina prices were another factor that contributed to the reduced aluminium output volume in China during the period under review.

Alumina pricing

The Shanghai Metals Market price indicator for alumina on Wednesday, December 11, shows a gain of RMB 8 per tonne, totalling RMB 5769 per tonne. In Shandong, the average price reached RMB 5,735 per tonne (ranging between RMB 5,700-5,770 per tonne) with an increase of RMB 15 per tonne, whereas in Henan, Shanxi, Lianyungang and Bayuquan the price swa no change. In Guizhou and Guangxi, same price listing was reflected at an average of RMB 4740 per tonne (+20).

China's metallurgical-grade alumina production continued to grow in November 2024, driven by expanded capacity. As of December 6, China's metallurgical-grade alumina capacity stood at about 103.02 million tonnes, up by 0.31 per cent from 102.7 million tonnes in the previous month.

Secondary aluminium ingot pricing

In the stance of aluminium alloy ingot prices, the A356 and A360 have raised by RMB 50 per tonne, rounding up to RMB 21,850 and RMB 21,000 per tonne, while others (ADC12 and AD380) remain unchanged post yesterday's gain.

Other prices

High-purity aluminium variants 99.99% and 99.96% saw no further cost-push in the past three days, standing at an average of RMB 27,500 and RMB 28,500 per tonne.

On the same date, low-carbon aluminium was priced at RMB 21,457 per tonne, with an inflation of RMB 39 per tonne which is still 4.35 lower when compared M-o-M (price on November 11, 2024 was RMB 22,432 per tonne).