Aluminium billet inventories decline by 3% for the fourth straight week in China

According to Shanghai Metals Market, inventories of aluminium billet in China, on November 7, declined for the fourth straight week, even after downstream consumption slowed down.

SMM data showed the stocks of 6063 aluminium billet across five major consumption areas in China inched down 3,800 tonnes or 3.27 per cent from October 31 to come in at 112,400 tonnes. Last week, the stocks had declined by 1,900 tonnes to stand at 116,200 tonnes, meaning the decline increased this week.

The chart below indicates the current status of aluminium billet inventories across China in more details:

The billet inventories in Foshan, Guangdong dropped by 3,500 tonnes or 6.3 per cent to stand at 51,500 tonnes, while that in Changzhou, Jiangsu; and Huzhou, Zhejiang dwindled by 900 tonnes or 5.2 per cent and 2,000 tonnes or 14.28 per cent to clock at 16,400 tonnes and 12,000 tonnes, respectively.

However, the price of aluminium alloys (ADC12) remained restrained today at RMB 14,350 per tonne, despite the further downfall of aluminium billet inventories. The prices of aluminium alloy (A356) and aluminium alloy (A380) also showed no change from RMB 14,800 per tonne and RMB 15,100 per tonne, respectively.