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Aluminium Smelter

China aluminium pricing shifts to regional flows, lifting South China premium by RMB 60-100/tonne on southwest conversion surge
Primary AL
The core pricing logic of the domestic aluminium market has undergone a fundamental shift. By 2026, China's total aluminium production capacity has reached the policy-controlled ceiling. With industry-wide operating rates already elevated and room for further capacity expansion effectively exhausted, the sector has formally exited the era of volume-driven growth. As industrial policies continue to guide the coordinated clustering of aluminium smelting and downstream processing, the traditiona ...
Why does a barrel of oil matter to aluminium producers?  A hidden link between petroleum coke, prebaked anode and the metal itself
Primary AL
Oil price shocks are traditionally associated with their impact on transportation, aviation, paints and chemicals, tyres, rubber, and fertiliser industries, while the ripple effects on metallurgy often remain overlooked. The recent Middle East geopolitical crisis has renewed attention on aluminium’s strategic importance as a critical global metal supplier, but what about the impact of the oil price surge linked to the conflict on aluminium’s cost structure?   Indeed, the aluminium industry do ...

Primary AL
According to SMM statistics, total outside-China aluminium production in July 2026 fell 6.7 per cent Y-o-Y, mainly due to a Y-o-Y decline in operating rates at Middle East aluminium smelters. Outside-China daily average production rebounded 1.6 per cent M-o-M, mainly driven by ongoing production resumptions at smelters in the Middle East and Iceland, as well as output increases brought by project ramp-ups and power-on commissioning in Indonesia, Vietnam, and other locations. In July, there we ...
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