Home / Metal News / Where is Peak for China Aluminum Inventory in H1 2016?

Where is Peak for China Aluminum Inventory in H1 2016?

iconMar 29, 2016 09:08
Source:SMM
Aluminum stocks in China’s five major markets grew steadily after the Chinese Lunar New Year holiday, and reached 928,000 tonnes as of March 15.

SHANGHAI, Mar. 29 (SMM) – Aluminum stocks in China’s five major markets grew steadily after the Chinese Lunar New Year holiday, and reached 928,000 tonnes as of March 15. Could this figure mark the peak for first half of this year?

The answer is yes, says SMM aluminum analyst Liu Xiaolei. In fact, the turning point has already emerged, with stocks down to 913,000 tonnes as of March 17, and stocks have been falling ever since. 

Higher costs from rising alumina and coal prices will deter massive capacity restarts. And tight bank lending will also curtail release of new capacity, Liu explained. 

In conclusion, SMM sees capacity restarts and new capacity release not enough to fill in supply gap from previous production cuts.  

The table below shows details of aluminum stocks at China’s five major markets:

For news cooperation, please contact us by email: sallyzhang@smm.cn or service.en@smm.cn.


China aluminum inventory
Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market exchanges, and relying on SMM's internal database model, for reference only and do not constitute decision-making recommendations.

For queries, please contact Lemon Zhao at lemonzhao@smm.cn

For more information on how to access our research reports, please email service.en@smm.cn

Related news