Aluminium Billet Inventories Down 26,100 mt on Week

SHANGHAI, Nov 11 (SMM) - The stocks of aluminium billet in five major consumption areas dropped 26,100 mt to 112,200 mt on November 11 from a week ago, a decrease of 18.87%. And the inventory has been falling for four straight weeks.

The decline still mainly came from Foshan, whose inventory dropped 14,300 mt or 24.11% on the week, followed by Wuxi (down 6,600 mt or 22.37%). The inventories in Nanchang and Huzhou also declined slightly, while that in Changzhou rose mildly from a week ago by 500 mt or 2.7%. According to SMM, the transportation of aluminium billet was partly disrupted by blizzard in north-west China and resurging COVID, leading less arrivals at social warehouses. While the easing power rationing, especially n Zhejiang and Jiangsu, has created more demand.

Looking forward, the orders and production activities across all aluminium extruders have been moderate according to SMM research. While the warehouses reported that there will be no extra arrivals of aluminium billet next week. As such, the aluminium billet inventory is likely to remain in the downward trend.