Overseas demand gradually recovers and aluminum foil exports may rebound [SMM Analysis]

Customs data shows that China's aluminum foil exports from January to February 2024 were 227,700 tons, of which January exports were 129,900 tons, a month-on-month increase of 23.98% and a year-on-year increase of 7.85%. Export volume in February was 97,900 tons, a decrease of 24.65% month-on-month and a year-on-year decrease of 3.45%.
In terms of export target countries, exports to India, Thailand, Indonesia, the United Arab Emirates, Mexico and other countries were still relatively high in January and February. Exports to the top 5 destinations were 87,200 mt, accounting for 38% of the total exports.
SMM believes that the target countries for aluminum foil exports are relatively stable, mainly concentrated in Southeast Asia, North America and other places. The current situation in Europe is highly uncertain, the US economy has opportunities for a soft landing, and the economies of South Asia, Southeast Asia and other places are relatively stable. There are certain expectations for recovery in overseas market demand for aluminum foil, and aluminum foil exports may gradually pick up in the future.