SMM Aluminum Market Weekly Report 20250619

• Hot topic this week: Supply side of aluminum rod continues to fluctuate at highs, but demand weakens significantly, pushing processing fees to a record low
• Forecast for next week: Low inventory supports aluminum prices to fluctuate at highs, with the impact of the domestic off-season demand becoming evident
• Overall, the US Fed kept interest rates unchanged but indicated that tariff-induced price increases would become more pronounced in the coming months. Domestic aluminum ingot inventory continues to destock, providing support for aluminum prices. However, demand weakens due to the off-season impact, causing spot premiums/discounts to fall back from highs. Overall, low inventory and cost support keep aluminum prices fluctuating at highs, but weak demand limits upside room.
• Electrolytic aluminum: Aluminum inventory contends with off-season demand, narrowing spot premiums/discounts for aluminum
• Bauxite and alumina: Ore prices fluctuate, with loose supply pushing spot alumina prices down
• Aluminum billet and extrusion: Inventory inflection point for aluminum billet emerges, processing fees continue to fall; orders for extrusion diverge but cannot conceal decline in operating rates
• Secondary aluminum: Four-day winning streak in futures cannot conceal weakness in spot market; deepening off-season suppresses upside room for ADC12
• Aluminum auxiliary materials: Cost support for prebaked anode keeps prices generally stable with slight rise; weak supply and demand for aluminum fluoride keep prices stable

For more details, please refer to the Weekly Report on China's Aluminum Market (20250619)