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Home / Metal News / Rising Coal Prices Exacerbate Cost Differences at Aluminum Smelters in West and East China, SMM Says

Rising Coal Prices Exacerbate Cost Differences at Aluminum Smelters in West and East China, SMM Says

iconAug 9, 2016 10:23
Source:SMM
The recent round of coal price rises have further widened cost differences between aluminum smelters in west and east China, SMM learns.

SHANGHAI, Aug. 9 (SMM) –The recent round of coal price rises have further widened cost differences between aluminum smelters in west and east China, SMM learns.  

Power tariffs average 0.14 yuan/kwh in Xinjiang, which is 0.08 yuan/kwh lower than in Shandong, saving power costs at aluminum smelters in Xinjiang by 1,088 yuan/tonne compared with their rivals in Shandong.

Chalco Cuts Aluminum Prices in Major Markets on August 10

Rising coal prices have pushed captive power costs up over 9% at aluminum smelters in Shandong, Henan, etc. By contrast, aluminum smelters in Inner Mongolia and Xinjiang and some smelters that use on-rigid power reported no big increase in power costs, SMM learned.  

Do Aluminum Prices Need Help from Commercial Stockpiling in H2 2016? SMM Reports

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aluminum costs

For queries, please contact William Gu at williamgu@smm.cn

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

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