Exit of Low-Cost Aluminum Capacities in China to Be Filled by Restart of High-Cost Ones, SMM Warns

Published: Jul 24, 2017 14:06

Save

Xinjiang East Hope, Shandong Weiqiao and Shandong Xinfa, whose aluminum costs are low, cut capacity, while some high-cost capacities are coming back online, SMM survey found.

SHANGHAI, Jul. 24 (SMM) – Xinjiang East Hope, Shandong Weiqiao and Shandong Xinfa, whose aluminum costs are low, cut capacity, while some high-cost capacities are coming back online, SMM survey found.

SMM Aluminum Price Outlook for Q3 and Q4 2017

SMM data showed the weighted average full cost is 12,797 yuan/tonne (including tax) for operating aluminum capacity in China, while the weighted average cash cost is 11,811 yuan/tonne (including tax). Over 98% of operating aluminum capacity is in profit territory based on cash costs.

How Will Aluminum Prices Perform This Week? SMM Reports

Rising aluminum prices helped expand profit further to more than 1,100 yuan/tonne at domestic aluminum smelters as of July 21.

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

China aluminum capacity

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

For any inquiries or to learn more information, please contact: lemonzhao@smm.cn

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

Related News

2 hours ago

Domestic ADC12 Prices Rise by 300 Yuan/mt, Driven by Cost and Steady Demand Recovery

[SMM Aluminum Alloy Daily Review] Domestic ADC12 spot quotes continued to rise, with the mainstream increase reaching 300 yuan/mt. Cost side, supported by raw material prices rising in tandem, the bottom remained solid; demand side, although recovering steadily, downstream enterprises still maintained a just-in-time procurement pace. Driven by the consecutive gains, market sentiment of “rush to buy amid continuous

2 hours ago

SHFE Cast Aluminum Alloy Warrant Volume Down 975 mt to 62,228 mt on March 3

[SMM Flash] SHFE data showed that on March 3, the total registered cast aluminum alloy warrant volume was 62,228 mt, down 975 mt from the previous trading day. Among them, the total registered volume in Shanghai was 6,070 mt, down 90 mt from the previous trading day; Guangdong was 21,089 mt, down 365 mt; Jiangsu was 8,080 mt, down 180 mt; Zhejiang was 21,162 mt, down 240 mt; Chongqing was 4,534 mt, an increase of 0 mt; and Sichuan was 1,293 mt, an increase of 0 mt.

2 hours ago

4 hours ago

Data: SHFE, DCE market movement (Mar 03)

The following table shows the ferrous and nonferrous metals movement on the SHFE and DCE on 03 Mar , 2026

4 hours ago