Today' Focus

        Hangzhou Jinjiang Group's general manager Zhang Jianyang, vice general manager Sun Jiabin and their team had  attended the SECOND BELT AND ROAD FORUM FOR INTERNATIONAL COOPERATION, they also attended the signing ceremony of comprehensive strateg...

Domestic News

    Alumina capacity in China to expand by 6.2 million tonnes in 2020, estimates SMM senior aluminium analyst

  • China Aluminium Network
  • Post Time: 2019/11/8
  • Click Amount: 200

    Liang Xuan, a senior aluminium analyst at Shanghai Metals Market, estimates China’s alumina market to turn into a “tangible surplus” in the fourth quarter of 2019, as the newly started refineries ramp up their domestic production and import arbitrage window opens.

    As per Liang’s estimation, alumina capacity in China will likely expand by 2.5 million tonnes on an annualised basis in 2019 and 6.2 million tonnes in 2020. China has a built-in alumina capacity of 83.6 million tonnes, with 70.94 million tonnes of metallurgical-grade capacity in operation.

    On Thursday, November 7, Liang pointed out at the 2019 South China Metals Summit that in September, metallurgical-grade alumina supply in China was in a moderate surplus of 2,000 tonnes as the recovery of idled capacity slowed than expected, besides production cut at some refineries.

    Meanwhile, production ramp-up at EGA’s 2 million tonnes refinery in Abu Dhabi, resulting in overseas supply jump, and restart of Hydro’s 3.2 million tonnes plant in Brazil knocked Australia alumina FOB prices to $280 per tonne, down from $323 per tonne at the end of June.

    Growth in alumina supplies is expected to lead to a further drop in alumina prices, resulting in a gradual weakening of aluminium prices.

    Liang also estimates the social inventories of primary aluminium ingots in China to fall to 700,000 tonnes to 750,000 tonnes by the end of the year. As of November 7, the inventories are at 853,000 tonnes.

    Aluminium consumption in China’s building sector is expected to rise 2 per cent from 2018 to 9.47 million tonnes, Liang added. But in the transport sector, consumption is likely to drop by 13.52 per cent to 6.79 million tonnes. As a result, the overall aluminium consumption in China is expected to dip 1.48 per cent this year.

      Copyright and Exemption Declaration :①All articles, pictures and videos that are marked with "China Aluminum Network" on this website are copyright and belong to China Aluminium Network ( When transshipment, any media, website or individual must list the source from "China Aluminium Network (". We seek legal actions against anyone that disobey this. ②Articles 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. ③If any articles copied by our website concern the copyright and other problems, please contact us within one week.