China’s A00 aluminium ingot price decreases by RMB20/t, reflecting the fluctuating market trend

According to the Shanghai Metal Market (SMM) survey, China’s A00 aluminium ingot price on August 12 has decreased by RMB 20 per tonne from the previous day, settling at RMB 18,990 per tonne. This price shift marks a slight decline from the previous trading session, highlighting a fluctuating price trend in the aluminium market. On the last day, the price jumped up by RMB 230 per tonne, but again, the week started with a downfall in price.

The price is up by RMB 160 per tonne from RMB 18,830 per tonne last week. As of today, the average price may range between RMB 18,970 per tonne and RMB 19,010 per tonne, whereas the spot contract is likely to be traded at a discount price of RMB 60 per tonne to RMB 20 per tonne with an average of RMB 40 per tonne.

Region-wise analysis:

Prices have decreased uniformly across all provinces, except for Tianjin, where it has gained RMB 20 per tonne to settle at RMB 19,010 per tonne. In line with the overall market trend, average prices have dropped by RMB 20 per tonne in Gongyi, Wuxi, Hangzhou, and Shenyang, with prices now standing at RMB 18,910 per tonne in Gongyi, RMB 18,990 per tonne in both Wuxi and Hangzhou and RMB 18,940 per tonne in Shenyang. In Foshan and Chongqing, prices have fallen by RMB 40 per tonne and RMB 10 per tonne, respectively, bringing their prices to RMB 18,930 per tonne in Foshan and RMB 18,960 per tonne in Chongqing. In Linyi, the price remains unchanged at RMB 19,010 per tonne.

Other prices:    

The price of low-carbon aluminium has also shrunk by RMB 54 per tonne to RMB 19,872 per tonne. High-purity aluminium (99.99%) and (99.996%) remained unchanged from the previous day, with the price of RMB 26,200 per tonne for 99.99% purity and RMB 27,200 per tonne for 99.996% purity.

The prices of raw materials like domestic bauxite have remained unchanged, with an average of RMB 640 per tonne, but the imported bauxite price has seen a minor downfall by US$ 0.01 per tonne with an average of US$ 75.2 per tonne. Alumina price has seen no change from the previous day, with an average of RMB 3,904 per tonne.

Aluminium alloy ingot prices:

Interestingly, aluminium ingot prices have remained unchanged from the previous day.

Market analysis:

This fluctuation in aluminium prices displays the interconnectedness of global economic factors and market psychology. While the RMB 230 per tonne surge reflects the bullish sentiment, the subsequent RMB 20 per tonne drop reflects the correction to normalise the market.