Global aluminium profile market: Chinese output reaches 13.1 million tons in 2012

Since 2012, due to China´s economic slowdown, global economic stagnation and trade protection measures taken by Europe, U.S. and other developed countries on some aluminum products from China, the fast-growing Chinese aluminum processing industry has been confronted with some pressure.

However, given the increasingly wider range of applications of aluminum profiles and especially driven by the trend of lightweight transportation, production and sales of aluminum profiles are growing.

In 2012, China´s output of aluminum profiles was about 13.11 million tons, up 14.0% from a year earlier. Seen from product mix, industrial aluminum profile industry is developing rapidly, and the full-year consumption in 2012 reached 4.024 million tons, occupying 33.6% of total consumption, up 11.22% year-on-year.

As the demand for industrial aluminum profiles keeps

rising, listed companies are expanding their existing production lines or setting up new production lines. Among the current aluminum profile projects being constructed by listed companies, industrial aluminum profile projects accounted for over 80%, the majority of which will be put into production before 2015.

In terms of the performance of listed companies in the first half of 2013, only Shandong Nanshan Aluminum Co.,Ltd. and Suzhou Lopsking Aluminum Co., Ltd. showed a decline in revenue, in which Nanshan Aluminum´s revenue fell 2.15% compared with the same period of last year; and Suzhou Lopsking dropped by 1.28% year-on-year. Liyuan Aluminum is the company that presents the fastest growth in performance. In H1 2013, its revenue surged by 29.71% year-on-year.

Considering gross margin by product, the industrial aluminum profiles of China Zhongwang are with the highest gross margin, which was 28.0% in the first half of 2013; Liyuan Aluminum enjoys the highest gross margin in construction aluminum profiles, 23.9% in H1 2013.

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