SHANGHAI, Aug. 19 (SMM) -- Chongqing has suffered hot weather conditions with the temperature of over 40 degrees recently, and production at local cast aluminum and die casting enterprises was affected, and they had to shut down some capacity, with overall cast aluminum alloy market sentiment sluggish. 

SMM sources from local cast aluminum alloy enterprises report that the work environment in the aluminum melting plants is more severe under the influence of high temperature in Chongqing, with the temperature inside the plants already exceeding 50 degrees, and it is difficult for workers to do work, and an average 3-4 hour shift has to be conducted. Although there are many cooling measures like herbal tea and fan, those measures have very limited effect in the face of the extremely high temperature.

Many secondary aluminum enterprises can only choose production cut or suspension because of hot weather, and local supply of cast aluminum declined further. In addition, the temperature above 40 degrees caused local residential electricity consumption to surge, and the drought resulted in supply shortage of hydroelectric power in southwest China. As a result, electricity supply to some die casting enterprises was restricted, which also to a certain extent restricted local demand for cast aluminum.

Cast aluminum alloy market sentiment is sluggish in Chongqing, but the situation has not yet affected local cast aluminum alloy prices.