East China Aluminum: Aluminum Consumption Enters Low-Demand Season, Gains Limited

SHANGHAI, Jul. 2 (SMM) – Mainstream traded prices for spot aluminum in Shanghai were RMB 14,450-14,460/mt on Tuesday, RMB 10-20/mt lower than SHFE 1307 aluminum contract prices. Low-iron aluminum was traded around RMB 14,600/mt. SHFE aluminum was mired after opening higher, offering little upward momentum to spot aluminum. Summer is a seasonal low demand period for aluminum consumption. Traders were eager to sell, but downstream producers held to the sidelines and middlemen showed modest buying interest, holding mainstream traded prices RMB 20/mt below SHFE current-month aluminum contract prices. Prices in Shanghai and Wuxi failed to climb above RMB 14,460/mt, while prices in Hangzhou were higher at RMB 14,470/mt due to tight supply.