PV aluminum frame operations continue to consolidate on a strong note, aluminum price macro sentiment weakens, and inventory forward oversupply pressure persists [SMM Analysis]

Published: Aug 27, 2026 18:19

Save

SMM, August 27:

PV aluminum extrusion: In this week's survey sample, the operating rate of PV frame enterprises consolidated on a strong note. Affected by the expected implementation of the US Section 232 PV new regulation, policy-driven advance stockpiling demand was mainly concentrated in the upstream solar cell sector. Order-taking and production schedules at the end-user module export side remained relatively cautious, with no large-scale concentrated market trend emerging. As a result, growth in supporting orders for PV frames was limited, only marginally improving the industry's operating rates and failing to create a trend rebound momentum. Looking ahead in the short term, production schedules of downstream PV module enterprises are relatively stable, and with the gradual absorption of the overseas policy buffer window, end-use demand shows no significant growth. In the short term, the operating rate of PV frame enterprises is expected to continue its consolidating-on-a-strong-note trend.

Raw material prices: During the period from 2026.8.24 to 2026.8.27, the SMM A00 weekly average price was 23,832.5 yuan/mt, up 0.1% from the previous week's average. Overall, macro front, the pressure on aluminum prices has increased somewhat. The Jackson Hole annual conference and Warsh's debut brought policy uncertainties. The strengthening US dollar index combined with rising expectations of interest rate hikes, while the easing of US-Iran geopolitical risk premiums and the pullback in oil prices jointly created overhead resistance for aluminum prices. However, China's inventory continued destocking and the approaching "September peak season" expectations provided strong support to aluminum prices. Backed by these bullish and bearish factors, aluminum prices are expected to continue to consolidate at highs next week. Next week, the most-traded SHFE aluminum contract is expected to trade in the range of 23,400-24,100 yuan/mt, while LME aluminum is expected to trade in the range of $3,150-3,280/mt.

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

Images in this article contain AI-translated captions for reference only.

For any inquiries or for more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

3 hours ago

Silver logged a five-day winning streak, gaining 1.5% for the week; the Jackson Hole conference became a key short-term variable [SMM Silver Weekly Review]

[SMM Silver Weekly Review: Silver’s Five-Week Winning Streak Lifts Price by 1.5%; Jackson Hole Symposium Emerges as Short-Term Key Variable] This week, silver rose for five consecutive days, with the price center steadily moving up and the weekly chart forming a five-week winning streak. On the macro front, bullish factors dominated, as US Treasury buybacks and a weaker US dollar provided support, while a higher-than-expected PCE and elevated US bond yields weighed on prices. Spot trading concentrated at discounts, though month-end activity improved somewhat. Inventory buildup reached 87 mt, and ETF holdings edged up. Near-term focus turns to the policy signals from the Jackson Hole central bank symposium. Silver prices are expected to maintain wild swings.

3 hours ago

4 hours ago

Long and short factors interwoven, precious metals futures consolidate at highs, market awaits guidance from Jackson Hole speech [SMM Precious Metals Macro Analysis]

This week, the macro front remained mixed, with an overall pattern of consolidation at highs. Early in the week, carrying forward the residual effect of the Ministry of Finance's expansion of government bond repurchases, alongside the weakening US dollar and ETF inflows, futures rose overall. Mid-week, futures consolidated at highs, as the escalation of the US-Canada tariff war boosted safe-haven sentiment and provided support. Late in the week, with PCE data being neutral to slightly hot, the easing of US-Iran tensions, and pre-Jackson Hole caution, futures pulled back. In the short term, inflation stickiness, high US Treasury yields, and policy uncertainty still pose pressure; however, the rising visibility of debt risks, intensifying trade frictions, and central bank gold purchases provide medium and long-term bottom support, limiting downside space. Focus on the Jackson Hole speech by Warsh and guidance from the September FOMC meeting.

4 hours ago

5 hours ago

Thailand’s TISI Race Heats Up: Factory Audits Could Squeeze Compliant PV Module Supply [SMM Analysis]

September remains a policy target rather than a confirmed effective date, while factory-by-factory audits could delay certification and constrain compliant supply.

5 hours ago