SMM Statistics: On April 3, SMM statistics showed that the aluminum inventory in the Shanghai Bonded Zone was 72,500 mt, and the inventory in the Guangdong Bonded Zone was 19,700 mt, totaling 92,200 mt. The inventory decreased by 6,400 mt WoW.

April 3 News: According to SMM statistics, the inventory of aluminum ingots in mainstream domestic consumption areas on April 3 was 765,000 mt, down 35,000 mt from Monday this week and down 37,000 mt WoW from last Thursday.

April 3 News: According to SMM statistics, the inventory of aluminum billets in mainstream consumption areas in China was 244,500 mt on April 3, down 16,500 mt WoW from Monday.

【SMM Aluminum Morning Meeting Summary: Trump Wields Tariff Stick, Aluminum Industry Chain's Positive Factors Cannot Mask Short-Term Downward Price Pressure】On the macro front, Trump's latest actions undoubtedly added fuel to the already tense global trade situation. His related measures further intensified trade frictions, significantly reducing market risk appetite, and casting a shadow of uncertainty over the entire commodity market. On the fundamentals side, the aluminum industry chain remains predominantly positive, with the seasonal destocking trend of "Golden March and Silver April" becoming more evident. Aluminum ingot inventory continued to decline to around 800,000 mt. End-use consumption, such as in the NEV sector, is steadily growing, and downstream restocking demand has also shown signs of recovery. As the peak consumption season approaches, order volumes and operating rates in most sectors have rebounded, coupled with the ongoing destocking of social inventory of aluminum ingots, providing bottom support for aluminum prices. However, it cannot be ignored that the market faces severe external pressure in the short term. The US's reckless wielding of tariff sticks has once again disrupted market order, bringing heavy downward pressure on aluminum prices. In the current context of high macro uncertainty and rising trade protectionism, aluminum prices are caught in a dilemma of fluctuating downward in the short term. Continued close attention to changes in macro sentiment and the actual release of downstream demand is essential.

SMM Alumina Morning Comment: The alumina market has recently shown a downward fluctuation trend. The most-traded contract fell slightly by 0.42% overnight, closing at 2,878 yuan/mt, with open interest increasing to 214,000 lots. The ex-factory price for spot transactions in Guangxi dropped to 3,038 yuan/mt, while the delivery-to-factory price for tenders in north-west China was 3,145 yuan/mt. At the industry level, SMM's spot-futures price spread data showed that the spot price was at a premium of 96 yuan/mt over the most-traded contract. The total warrant volume increased to 301,200 mt, but regional differentiation was evident. In the overseas market, the alumina price in Western Australia, converted to yuan, was 3,051 yuan/mt, still 310 yuan/mt higher than the domestic price. The import window remained closed, while the export cost of $450/mt was also higher than the international price. On the fundamental side, the weekly operating rate of domestic alumina continued to decline to 87.3 million mt/year, while the operating capacity of aluminum, converted to alumina demand, was 84.47 million mt/year, still lower than the actual supply. The increase in imported bauxite has alleviated raw material pressure, keeping bauxite prices under pressure. Currently, aluminum plants are mainly executing long-term contracts for procurement, with some companies actively reducing inventories, leading to a MoM decrease of 44,000 mt in raw material inventory. Against the backdrop of ample market supply, alumina prices may continue to fluctuate downward in the short term.