Shanghai Nonferrous Metals News
SMM: Domestic primary aluminium prices have been in decline recently, falling under the average industry full cost of RMB13,200~13,400/t on 5th March 2020. The price touched down at RMB12,500/t today, approximately RMB200/t lower than the average industry cash cost of domestic smelters.
Market fundamentals show rising aluminium inventory in China with 1.6 mln t of stocks continuing to weigh on prices. If the SHFE aluminium prices remain at low levels without support from raw material prices, an increasing number of smelters may be forced to cut production in the short-term.