SMM Weekly Aluminium Market Fundamentals Analysis

SHANGHAI, Apr 17 (SMM) - In terms of fundamentals, aluminium smelters in Guizhou and Sichuan increased their production slightly, while smelters in other regions mostly maintained stable production. There were fears that smelters in Yunnan might be subject to a new round of power rationing. Primary and secondary aluminium alloy sectors still performed poorly amid sluggish auto market. The demand for aluminium plate/sheet, strip and foil improved slightly. Large construction aluminium extruders reported sufficient orders, but small and medium-sized ones saw their orders weaken noticeably. Competition in the photovoltaic aluminium extrusion segment has intensified. On the whole, downstream operating rates improved only mildly when compared with March. Aluminium ingot social inventory kept falling thanks to rigid demand from downstream buyers and lower transportation efficiency in Xinjiang.