SHANGHAI, Oct 11 (SMM) – SMM data shows that China's aluminium output was 3.11 million mt in September (30 days), a year-on-year decrease of 0.10%, falling for the first time in the past 21 months. The daily average output was 103,700 mt, down 300 mt on the month.
China produced 29.08 million mt of aluminium from January to September, a year-on-year increase of 6.01%.
The operating capacities in Inner Mongolia, Yunnan and Guangxi were reduced due to the power shortage and the dual control of energy consumption in late September. At the same time, Zhaofeng, Xinheng, Hengkang, and other plants resumed production.
China's operating aluminium capacity stood at 37.45 million mt/year in early October, while the existing capacity stood at 43.75 million mt/year, leaving the operating rate at 85.6%.
According to SMM survey, aluminium liquid accounted for 64.6% of China’s total aluminium output in September, a decrease of 2 percentage points from August.
The operating aluminium capacity may continue to decline in October. Qinghai and Ningxia may lower the operating rates, while there will be no production recovery or new capacities to be put into production.
The aluminium output is expected to be 3.19 million mt in October, and the daily average output may fall to around 102,900 mt.
The power rationing will suppress the consumption in the traditional peak season. The aluminium inventory may rise slightly to 850,000 mt at the end of October.
