[SMM Morning Comment on Alumina: Domestic Weekly Operating Rate of Alumina Improves, Spot Alumina Prices Expected to Fluctuate Upward]
Supply side, the domestic weekly operating rate of alumina remains stable and improves, with a slight increase in supply. Demand side, some aluminum smelters in south-west China have maintenance plans, but due to new capacity and full production in north-west China, as well as some stocking demand, overall alumina demand does not decrease. Overall, the tight supply pattern of alumina remains unchanged, providing some support for alumina prices. However, due to the significant increase in alumina costs, according to SMM's daily China aluminum profit and cost model, the average profitability of China's aluminum industry has turned to a loss, and high alumina prices have also somewhat suppressed downstream stocking procurement willingness. In summary, spot alumina prices are expected to remain stable with a slight increase in the short term.
