China Aluminum, Alumina and Aluminum Semis Output Data Analysis in March

SHANGHAI, Apr. 28 (SMM) –

Aluminum
Data from the China Nonferrous Metals Industry Association showed March aluminum output was 1.564 million mt, up 10.5% YoY and 1% MoM. SMM analysis found the equivalent annual capacity based on monthly capacity actually fell 1.07 million mt MoM in March. SMM sources did not report any sharp production cuts during March and new capacity was added in northwest China, so SMM is skeptical of official CNIA data. Some aluminum producers in Shandong, Henan, and other regions cut output during April for a variety of reasons, so SMM expects April primary aluminum production to fall slightly.

Alumina
Data from the China Nonferrous Metals Industry Association revealed China produced 3.11 million mt of alumina in March, with total alumina production for 1Q at 8.93 million mt, up 7.85% YoY. Increases in domestic alumina production were mainly attributed to new capacity in Northwest China coming online while production in East and Central China remained stable.

Aluminum Semis
Data from the China Nonferrous Metals Industry Association revealed China's aluminum semis production during March was 2.37 million mt, up 22.8% YoY and 8.7% MoM. Aluminum semis production from January to March was 6.003 million mt, also up 11.23% YoY. Operating rates at aluminum processors rose in March as orders increased. SMM survey data revealed the average operating rate at aluminum profile producers during March was 67.41%, up 2.91% MoM. Aluminum plate, sheet, strip and foil producers were running at 58.21% of capacity, up 3.88% from February. The increase in aluminum semis production is the result of higher operating rates at aluminum processors and increased demand from new capacity.