SMM Weekly Updates on China Aluminium Ingot and Billet Social Inventories as of Apr 20, 2023

SHANGHAI, Apr 20 (SMM) – Aluminium ingot: The aluminium ingot social inventories across China’s eight major markets totalled 906,000 mt as of April 20, down 60,000 mt from a week ago and 29,000 mt from April 17. The figure was also 104,000 mt below the same period last year. The current inventory is at the lowest level when compared to the same period of the past five years. The low inventory of aluminium ingots is partly associated with growing proportion of molten aluminium in smelters’ total output. Therefore, how the share of molten aluminium and aluminium ingot output will change deserves close attention.

Aluminium billet: The domestic aluminium billet social inventory stood at 152,600 mt as of April 20, down 7,000 mt from a week ago. The inventory has been fluctuating around the current level for several weeks. Shipments out of social warehouses began to pick up last week and transportation in Xinjiang was somehow hindered, allowing the inventory to drop. SMM will keep a close eye on when the transportation in Xinjiang will fully recover and changes in downstream operating rates.