Beijing September 14 news. Government data released on Friday showed that Chinese aluminum producers’ production in August was 3% lower than the previous month, as high raw material costs have reduced the profit margins of manufacturing companies.
According to data released by the National Bureau of Statistics on Friday, China’s August production of primary aluminum (electrolytic aluminum) was 2.84 million tons.
According to statistics from the Bureau of Statistics, the output of primary aluminum in August was lower than the historical high of 2.93 million tons in July. However, it increased by 7.8% compared with the same period of last year.
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Based on the conversion of data, China’s primary aluminum production in August was about 91,600 tons / day, the lowest since May.
In August, Shanghai aluminum futures contract climbed 2.1%, but in the same period in the eastern part of China, the spot price of alumina rose by 10.8%. Smelting companies are under pressure.
Norwegian company’s Alunorte company’s Alunorte smelter production disruption, the US threat to impose sanctions on Rusal, and Alcoa’s alumina plant in Western Australia’s alumina plant strikes, all of which led to this year The culprit in the global alumina market is tight.
The price of alumina in the international market has skyrocketed, causing Chinese alumina producers to take advantage of large-scale exports, which in turn has led to a decline in domestic supply.
Victor You, an analyst at CLSA in Hong Kong, said he had heard about the decline in production by aluminum producers in Henan Province, and he described Henan as a concentrated area of extremely high-cost aluminum smelters.
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He said: “This is because many aluminum smelters do not have a complete supporting alumina project. They must purchase raw materials from outside, which will be particularly difficult for them.”
Spot alumina prices in central China are currently the highest since December.
He added: “Aluminium profits have fallen sharply, so I won’t be surprised even if there is a reduction in production.”
The National Bureau of Statistics also showed that China’s primary aluminum production in January-August was 22.21 million tons, an increase of 3.5% over the same period last year.
China’s ten non-ferrous metals production in August was 4.54 million tons, up 5.7% year-on-year, but down 1.8% from July’s 4.62 million tons.
China’s ten non-ferrous metals production in January-August was 35.71 million tons, an increase of 3.8% over the same period last year.
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