Shanghai Nonferrous Metals News
SMM: China produced 5.4 mln t of alumina (MGA) in September, with daily average output at 180 kt. Domestic refineries including Xing’an Chemicals, Shanxi Huaqing, Chalco Zhongzhou and IM Mengxi saw a m-o-m increase in output while others including Sanmenxia East Hope and SPIC Shanxi saw output decline on-month. Several refineries postponed their resumption plans due to continued falling prices as well as application of more stringent environmental rules during the National Day Holiday period (1~7 October). Some refineries operated below their designed capacity during September due to tightening bauxite supply.
Looking forward to October, Jiaokou Xinfa will resume production late in the month, and the two alumina production lines at SPIC Shanxi are expected to come online and generate some production after HT/LT conversion upgrades. The average daily output in October is expected to increase m-o-m driven by rising prices. SMM data shows domestic alumina operational rates lifted to 65.67 mtpy during the first ten days of October. SMM forecast China’s October alumina (MGA) output at 5.81 mln t, with daily average output of 187 kt, up slightly from September.