Thailand is the largest automotive manufacturing hub in Southeast Asia, with world-renowned automotive companies establishing manufacturing plants there, and the automotive industry contributing 12% to GDP. The automotive parts industry is well-developed, with over 60% of the world's top 100 automotive parts suppliers having production hubs there. Additionally, with the support of the Thai government's policies, the home appliance and electronics industries have also experienced rapid development, with continuous growth in aluminum consumption. Despite lacking aluminum resources, Thailand continues to rely on imports for primary aluminum. Against this backdrop, SMM has introduced CIF Thailand aluminum ingot quotes for market reference and settlement.

【SMM Aluminum Downstream Analysis: Aluminum Processing Industry PMI Down 9.7% MoM in June — Pressure Across All Segments, Little Improvement Expected in Off-Season】June Aluminum Processing PMI Composite Index recorded 40.1%, falling below the boom-bust line, down 9.7 percentage points month-on-month and down 1.5% year-on-year.Downstream consumption entered the off-season, and the New Orders Index fell significantly, dragging down the performance of the composite index...

[SMM Weekly Survey on Aluminum Downstream: Double Pressure from Off-Season and High Aluminum Prices Leads to Continuous Decline in Weekly Operating Rate of Aluminum Processing] This week, the overall off-season atmosphere was strong in the downstream aluminum processing sector, with the weekly operating rate declining by 1 percentage point WoW to 58.8%. ...

[SMM Aluminum Morning Meeting Summary: Domestic Consumption Boosting Policies Intensified, Aluminum Prices Face Short-Term Upside Test] On the macro front, domestic policies have been intensified to boost demand, and the issuance of trade-in funds is conducive to driving the resilience of aluminum consumption. Overseas, if the EU reduces tariffs on US goods to reach a trade agreement, it may alleviate trade conflicts, reduce the risk of supply chain disruptions, and indirectly support aluminum prices. Demand side, downstream industries have entered the traditional off-season, with operating rates for aluminum wire and cable, extrusions, etc., declining significantly. Aluminum processing enterprises in central China have entered a semi-shutdown state due to losses, with low purchase willingness and spot prices remaining at lows. Despite the strong resilience of demand in the new energy sector (such as PV and automotive), PV installation rush demand weakened after June, and home appliance production schedules declined sharply MoM, resulting in insufficient overall demand support. Inventory side, SMM domestic aluminum ingot inventory slightly declined by 1,000 mt to 463,000 mt on June 26, with initial signs of inventory buildup pressure. As the off-season deepens and casting ingot volumes increase, inventory begins to face certain pressure. Overall, aluminum prices will face tests from inventory turning point confirmation and off-season demand pressure in the coming week, hovering at highs in the short term.

Overnight, LME copper opened at $9,692.5/mt, reaching a high of $9,738.0/mt and a low of $9,684/mt, before closing at $9,727.0/mt, up 0.65%. Trading volume reached 14,874 lots, with open interest at 286,436 lots.

At the 2025 SMM (2nd) Global Renewable Metal Industry Chain Summit  hosted by SMM Information & Technology Co., Ltd., Amar Singh, Secretary General of the Material Recycling Association of India, shared insights on the topic of "Global Recycled Metals Market Showdown: An In-Depth Analysis of India's Strengths and Challenges."

Overnight, LME copper opened at $9,643.5/mt, dipping to a low of $9,615.0/mt and peaking at $9,697.0/mt, before closing at $9,694.5/mt, up 0.35%.

On Friday evening, LME copper opened at $9,628.5/mt, surging to a high of $9,700/mt in the early session, then fluctuating downward, hitting a low of $9,621.5/mt during the session, and experiencing a slight correction towards the end, ultimately closing at $9,660.5/mt, up 0.43%.

[SMM Aluminum Morning Meeting Summary: Has the Inflection Point of Inventory Buildup for Aluminum Ingot Social Inventory Been Formed? Bullish Market Sentiment Still Dominates] On the macro front, there was a clear divergence in the US Fed officials' statements on interest rate cuts, while geopolitical conflicts heightened bullish market sentiment. On the fundamental front, the operating capacity of domestic electrolytic aluminum remained stable, with the proportion of liquid aluminum staying at a high level, and the market supply of casting ingots remained tight. SMM learned that the casting ingot output of individual aluminum plants slightly increased this week, but it was still difficult to change the overall tight supply situation in the market. On the demand side, overall, most downstream sectors were in the traditional off-season, with significant production cuts feedback from downstream enterprises in central China. Local spot transactions weakened, and continuous large discounts emerged in market transaction prices. From the perspective of downstream demand sectors, the weakening off-season demand in the PV and home appliance sectors could not be ignored, with a significant pullback in the operating rates of related sectors. The operating rate of the wire and cable sector also declined due to the completion of the previous delivery period and high aluminum prices. In terms of inventory, the destocking pace slowed down, and low inventory levels still provided support to the futures market, but spot premiums/discounts gradually pulled back. In summary, the domestic bullish sentiment on the macro front remained unchanged. On the fundamental front, the low inventory levels of domestic aluminum ingots provided support to aluminum prices, but the weakening off-season demand in the downstream sector was evident. Spot premiums/discounts may fall back from highs, and subsequent attention should be paid to changes in inventory and demand.