SMM Weekly Chinese Aluminium Scrap Market Review

SHANGHAI, May 4 (SMM) – SMM A00 aluminium prices had been falling for six trading days in a row, losing 550 yuan/mt or 2.89% from a week ago as of last Friday. The prices of aluminium extrusion scrap and aluminium tense scrap dropped 300-500 yuan/mt and 200-400 yuan/mt respectively last week. Aluminium scrap prices in east and north China fell more sharply than in south, central and south-west China. The price difference between primary aluminium and aluminium scrap narrowed a little. Aluminium scrap supply tightened in the second half of the week as sharply falling prices discouraged suppliers from selling. Downstream inquiries picked up after aluminium scrap prices went down, but purchases were still based on rigid demand. Pre-holiday stocking was sluggish due to poor orders at downstream enterprises. Weak downstream demand will prevent aluminium scrap prices from going up.