Alumina price short of RMB 50 to touch RMB 5000 in China with Y-o-Y 20% overall gain

The week four of October 2024 closes with the frown on the traders' foreheads worsening as the alumina price range does not disperse any ray of hope.

On October 25, the price of alumina was only RMB 50 short of touching 5,000 as the price range in Shandong and Shanxi reflected to be RMB 4,800-4,950 per tonne (RMB 4,875 per tonne averaged) and RMB 4,850-4,950 per tonne (RMB 4,900 per tonne averaged), which was 50 and 25 RMB more than the previous day, respectively. The alumina price in China's Shanghai Metals Market stood at an average of RMB 4,850 per tonne as of date. As for other provinces, alumina in Henan ranged between RMB 4,800-4,900 per tonne with an average of RMB 4,850 per tonne (+40). In Guizhou and Guangxi, the alumina prices have been in the ranges of RMB 4,700-4,800 per tonne (average RMB 4,750 per tonne) and RMB per 4,700-4,850 tonne (average RMB 4,775 per tonne). The unusual rise in the last six months’ price is seen in the Lianyungang and Bayuquan provinces, where for the last three consecutive days, RMB 100 per tonne per day per region price has risen.

Even during the inflation, last Friday's alumina price reached RMB 4607 per tonne, indicating a 5 per cent price hike in only a week's span. On September 25, the average alumina price at SMM was RMB 4043 per tonne, which means that there has been an M-o-M spike of close to 20 per cent.

Overall, A00 aluminium ingot prices have dropped to RMB 20,800-20,840 per tonne (the average price is RMB 20,820 per tonne). The spot contract will be traded on Friday with a premium ranging from RMB 10 to RMB 50.

However, if the price from last year is considered, the price of A00 aluminium on September 25, 2023, was RMB 19,730 per tonne, evidently showing a 5.5 per cent Y-o-Y growth in the 2023-2024 trajectory.

Contradictory to week's last day's alumina pricing, the average A00 aluminium ingot pricing declined in most provinces, with prices depicted as: RMB 20,800 per tonne (-270) in Gongyi, RMB 20,640 per tonne (-250) in Foshan, RMB 20,820 per tonne (-250) in Wuxi and Hangzhou, RMB 20,760 per tonne (-230) in Chongqing, RMB 20,740 per tonne (-240) in Shenyang, RMB 20,770 per tonne (-230) in Tianjin and RMB 20,790 per tonne (-240) in Linyi. The price range in the provinces varies between RMB 20,500 per tonne to RMB 20,770 per tonne.

High-purity aluminium (99.99%) towered at RMB 27,800 (-300) per tonne on an average (range RMB 27,400-28,200 per tonne). The 99.96% purity variant was indexed at RMB 28,800 (-300) per tonne (range RMB 28,400-29,200 per tonne).

Besides, low-carbon aluminium was priced at RMB 20,900 per tonne (-100). In the stance of aluminium alloy ingot prices, the variants were priced as follows: ADC12 - RMB 20,900 (-100), A356 - RMB 21,250

per tonne (-300), A360 - RMB 21,400 per tonne (-300) and A380 - RMB 21,900 per tonne (-100). The price gain which was seen in yesterday's market in these alloys have exactly been reversed on the last day of the week.