Shanghai Nonferrous Metals News
Domestic bauxite prices have been in decline since end-April in northern China, seeing bauxite prices (A/S 5.0 grade) at RMB350~380/t in Shanxi, and RMB330~370/t in Henan (delivered without taxes). Domestic bauxite prices are expected to be volatile during May – depending on demand from domestic refineries.
Domestic alumina prices rose to RMB2,180~2,200/t in both northern and southwestern China. In the wake of expanded procurement by domestic smelters, domestic alumina prices are expected to climb slightly over the short-term.
Annual operational capacity of primary aluminum has now reached 36.2 mtpy. With a strong rebound in aluminium prices, SMM forecast new capacity and resumptions will continue gradually, while further capacity cuts are unlikely. As of 30th April, primary aluminium inventory at social warehouses dropped by 155 kt w-o-w to 1.2 mln t, marking the largest decline in weeks.