China's Copper and Aluminium Consumption Grows Strongly in 2007

China's refined copper consumption grew 13% year-on-year to 3.99 million tonnes in 2007, while primary aluminium consumption increased 27.6% to 11.12 million tonnes over the period, the National Bureau of Statistics announced today.

The country's refined copper output rose 14.6% year-on-year to 3.441 million tonnes in 2007, despite central government moves to control expansion in the copper smelting sector and high raw material prices that pressured domestic copper smelters' profits.

Primary aluminium output hit 12.28 million tonnes in 2007, up 32.6% from 2006. Chinese aluminium smelters expanded capacity last year as domestic alumina supplies increased and demand maintained rapid growth.

China produced 19.453 million tonnes of alumina in 2007, soaring 46.7% from the previous year, mainly on the back of accelerating capacity construction from non-Chalco alumina producers, who rely on imported bauxite for the majority of their alumina production.

The NBS also said the production of 10 major nonferrous metals (including copper, aluminium, lead, zinc, nickel, tin, antimony, magnesium, titanium and mercury) increased 32.6% year-on-year to 23.51 million tonnes in 2007.

Shanghai Futures Exchange (SHFE) copper future edged higher today, following gains by counterparts on the London Metal Exchange overnight. The most traded May delivery gained 0.35% to close at RMB 68,850 ($9,668.6) per tonne.

Analyst Wang Ranghua said the LME March copper delivery gained $165 per tonne yesterday due to decreasing stockpiles. Shanghai copper might continue fluctuating below the RMB 70,000 ($9,830.1) per ton benchmark unless London copper can break through $8,800 per tonne.

Aluminium futures closed higher on the SHFE today, and held firmly above the RMB 20,000 ($2,808.6) per tonne level. The most traded May contract gained 1.30% to close at RMB 20,200 ($2,836.7) per tonne.

Shanghai aluminium futures did not mirror the big overnight gains of LME counterparts, which gained $120 per tonne. Aluminium is expected to maintain a long term uptrend amid the softening U.S. dollar and expectations of decreasing domestic production, analyst Liu Zhengdong, from Jaingsu Holly Futures, said.

Copyright and Exemption Declaration :¢ÙAll articles, pictures and videos that are marked with "China Aluminum Network" on this website are copyright and belong to China Aluminium Network (www.alu.com.cn). When transshipment, any media, website or individual must list the source from "China Aluminium Network (www.alu.com.cn)". We seek legal actions against anyone that disobey this. ¢ÚArticles that marked as copy from others are for transferring more information to readers, do not represent or endorse their opinions or accuracy and reliability. When other media, website or individuals copy from our website, must keep the source. Anyone that changes the articles' sources will hold the responsibilities for copyright and law problems. We also seek legal actions against anyone that disobey this. ¢ÛIf any articles copied by our website concern the copyright and other problems, please contact us within one week.