27th February 2020: Total domestic aluminium inventory at China’s major store houses increased by 155 kt from last Thursday to 1.385 mln t, including 121 kt in Shanghai, 527 kt in Wuxi, 120 kt in Hangzhou, 210 kt in Gongyi, 326 kt in Nanhai, 57 kt in Tianjin, 11 kt in Chongqing and 13 kt in Linyi.
Domestic primary aluminium inventory is being driven up by continued new arrivals and weak deliveries. According to SMM, primary aluminium supply has been on the rise as many primary aluminum smelters have been operating normally and several new primary aluminium projects have come on line recently. Meanwhile, improved transportation conditions, have also encouraged new capacity and build up inventories. However, the downstream resumption remains weak. According to SMM, downstream aluminium processers are still grappling with problems like worker shortages and continuing sluggish demand in the real estate and automobile sectors. A full recovery won’t be expected until early March 2020.