DGCX quarterly volumes see big jump in Q1 2015

In late July, China's aluminum billet processing fees have continued to pull back from their highs in June, with φ120 aluminum billet processing fees in some major consumption areas approaching the production cost line. Amid weakening marginal demand during the off-season, increased arrivals in South China, and a relatively stable center in aluminum prices, whether processing fees can hold firm near the cost line has become the core issue of market focus....

[SMM Analysis: Aluminum Billet Processing Fees Pull Back to Near Production Cost Line – Can They Hold Firm?] Entering late July, China’s aluminum billet processing fees have continued to pull back from June highs, with φ120 aluminum billet processing fees in some key consumption areas approaching the production cost line. The market is feeling the dual pressure of holding prices firm and making shipments. According to SMM’s latest data, as of July 23, social inventory of aluminum billets in China’s key consumption areas climbed to 121,000 mt, marking two consecutive weeks of inventory buildup. Over the same period, warehouse withdrawals fell to 33,000 mt, a clear WoW pullback. Against a backdrop of weakening off-season demand, increased arrivals in South China, and relatively stable aluminum price centers, whether processing fees can stabilize near the cost line has become the core issue the market is watching.

On July 21, the ordinary aluminum ingot casting workshop of the Vietnam aluminum project department of China 15th Metallurgical Construction Co., Ltd. Third Company successfully produced the first batch of aluminum ingots. This aluminum tapping marks a phased achievement in the trial production of the casting system.