PV Frame Operating Rate Consolidates on a Strong Note; Aluminum Prices Expected to Mainly Consolidate and Adjust in the Short Term [SMM Analysis]

Published: Jul 16, 2026 19:01 (GMT+8)

Save

SMM, July 16:

PV Aluminum Extrusion: This week, the operating rate of the surveyed industry sample of PV frame enterprises held up well. Leading extrusion manufacturers continued to run at full capacity, supported by ample long-term orders on hand, with the core driver being the advancement of centralized PV projects toward year-end. In H2, the production schedule situation for downstream leading module enterprises is expected to be better than H1, but monthly incremental growth in PV frame demand will steady MoM, limiting the extent of demand improvement. SMM also learned that PV frame processing fees remained stable recently without notable changes. On balance, the operating rate of PV frame enterprises will likely maintain a consolidating-to-firm pattern in the near term.

Raw Material Prices: During the period (July 13-July 16, 2026), the SMM A00 weekly average price was 23,155 yuan/mt, up 0.9% from the prior week. Overall, recurring Middle East tensions, lingering rate hike concerns, and continued supply recovery clashed with a destocking trend that is hard to reverse in the short term. Amid this tug-of-war between longs and shorts, aluminum prices are expected to consolidate in the near term. The most-traded SHFE aluminum contract is expected to trade in a range of 22,500-23,500 yuan/mt next week, while LME aluminum is expected to trade at $3,050-$3,250/mt. Looking ahead, close attention should be paid to Middle East production resumption progress and geopolitical conflict trajectory, LME aluminum ingot inventory changes, and China’s downstream processing orders and aluminum semis export data.

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.

Images in this article contain AI-translated captions for reference only.

For any inquiries or for 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

7 hours ago

Module Deliveries Support Near-Term Frame Demand; Aluminum Prices Under Pressure Amid Post-Holiday Inventory Buildup and Demand Weakening Risks [SMM Analysis]

7 hours ago

8 hours ago

[SMM PV Flash] China Resources Yunfu Xianghai Optoelectronics distributed PV power generation project successfully connected to grid, with an estimated annual power generation of 7.32 million kWh

On September 24, the China Resources Power Yunfu Xianghai Optoelectronics distributed PV project was successfully connected to the grid. It is the largest single distributed PV project of China Resources Power Yunfu Company to date and the seventh integrated energy project completed and put into operation by the company. The project has a total installed capacity of 5.988 MW, adopts the "self-generation for self-use with surplus power fed to the grid" operating model, and is connected to the power grid at a 10 kV voltage level. Leveraging rooftop resources within the plant area, the project generates green power that is consumed on-site, with surplus electricity transmitted to the public grid, achieving efficient energy utilization. Once operational, the project is expected to generate 7.32 million kWh of electricity annually, saving approximately 2,233 mt of standard coal and reducing carbon dioxide emissions by about 6,282 mt each year, delivering significant ecological and emission-reduction benefits. The successful grid connection of the project has further enriched the regional supply of green energy and supported local efforts to optimize the energy consumption structure. China Resources Power Yunfu Company will continue to expand integrated energy business scenarios, accelerate the implementation of diverse green projects, deepen cooperation with key energy-consuming enterprises, and continuously inject green momentum into the high-quality development of the regional economy.

8 hours ago

[SMM PV News] Datang Baliu PV Project Achieves Full-Capacity Grid Connection

On September 21, the Balu PV power generation project of the Central Yunnan New Energy Business Division of Datang Yunnan Company successfully achieved full-capacity grid connection. The project is located in Nasu Village, Mojiang County, Pu'er City, with a rated installed capacity of 30 MW, a capacity ratio of 1.365, 9 PV arrays, a newly built 35 kV switching station, and a total land area of 814.98 mu. After the project is put into operation, the average annual power generation is expected to reach 54.3161 million kWh, with 1,322.87 effective utilization hours. It can save approximately 15,900 mt of standard coal and reduce carbon dioxide emissions by approximately 43,500 mt each year, delivering significant energy-saving and emission-reduction benefits. The project adopts a "power generation above, tea planting below" tea-PV complementary development model, creating a favorable pattern of coordinated development between new energy and the local tea industry, with mutual benefits for both ecological and economic outcomes. Since the start of construction, the business division has focused closely on the goal of building a "gene project," making every effort to ensure safety, monitor quality, accelerate progress, and strengthen Party building. By working backward from the completion date and managing the schedule on a wall chart, the division has made every effort to overcome the three major difficulties of communication and coordination, permit processing, and traffic control, laying a solid foundation for the smooth commissioning of the project.

8 hours ago