Aluminum Billet Operating Rates Decline Slightly Amid Contract Resigning and Off-Season Pressure

SMM, January 26:

According to the latest weekly survey by SMM, the weekly operating rate of aluminum billets recorded 64.45% this week, down 0.44% WoW. Due to the re-signing of liquid aluminum long-term contracts by aluminum billet manufacturers at the year-end, coupled with the off-season sales pressure, the operating rate of aluminum billet manufacturers declined under resistance. However, considering the pressure of liquid aluminum alloying, some aluminum plants in certain regions offered discounts on liquid aluminum during the Chinese New Year, leading to a counter-trend increase in the operating rate of some aluminum billet enterprises at the year-end. By region, the operating rate in Guizhou dropped 29.31% WoW to 37.14%; Guangxi fell 10.61% WoW to 48.53%; Yunnan decreased 9.32 to 70.16%; while Shandong rose 9.39 to 74.17%.