Aluminum Prices Plummeted Over 900 Yuan in a Single Day, Reluctance to Sell Limited the Decline in Premiums and Discounts [SMM Southern China Spot Aluminum Daily Review]

Published: Feb 2, 2026 17:04

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SMM February 2 News:

Aluminum ingot: On February 2, SMM A00 aluminum (Foshan) was quoted at 23,710 yuan/mt, down 910 yuan/mt, at a discount of 210 yuan/mt against the front-month contract. Aluminum prices plummeted sharply that day, but spot cargoes remained firm. Suppliers generally held back from selling, tightening the availability of circulating material. Downstream users and traders conducted concentrated pre-holiday restocking, with some large players raising purchase prices to support transactions. Trading was active in the morning session; however, as futures extended losses in the afternoon, market willingness to sell dropped sharply.

Aluminum billet: On February 2, the average price for SMM 6063 aluminum billet (Guangdong) Φ90/100 was 70 yuan/mt, while the average price for specifications Φ120 and above was 20 yuan/mt. A sharp decline in the base price weakened support for processing fees. Although some producers attempted to raise processing fees, end-users held strong bearish sentiment and slowed down procurement pace ahead of the holiday. Only sporadic rigid-demand transactions were concluded, with overall trading characterized by volume discounts and sluggish activity.

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