The supply of China's imported bauxite remains high while demand declines, April saw over 4 million mt inventory buildup at ports.

SMM May 6 News:

According to SMM's analysis, China's bauxite production in April 2025 saw a 2.5% decrease from the previous month, but a 7.8% increase compared to the same period last year.

Inventory levels of bauxite raw materials at China’s alumina refineries remained relatively stable in April, with a slight 0.1% increase compared to the previous month and a 1.7% decrease year-on-year. SMM reported that the total bauxite inventory at China's nine major ports was 20.19 million mt, with a significant increase of 4.13 million mt compared to the previous month-end. This surge in port inventory can be attributed to the continuous high supply of imported bauxite, as well as maintenance and production cuts at alumina refineries affecting demand for bauxite.

Looking ahead, news from bauxite mines in the Shanxi and Henan regions suggests a potential increase in domestic bauxite production as some mines are expected to resume operations. However, resource integration and inspection efforts could impact production levels, requiring close monitoring. The cost advantage of using China’s domestic bauxite over imported bauxite has prompted an increase in its usage proportion by alumina refineries in these regions. Nonetheless, facing pressure of losses, alumina refineries are driving down purchasing prices for bauxite raw materials, leading to continued strain on China’s domestic bauxite prices in the near term.

On the other hand, the short-term outlook for imported bauxite in China suggests a sustained high supply, while alumina refineries are undergoing maintenance and production cuts. Together with the rise in domestic bauxite usage proportion, it has made a decreasing demand for imports, leading to an expected build-up in imported bauxite inventory and continued price pressure in the market.