Chinese aluminium market Fundamentals

Aluminium smelters in Yunnan began to resume production last week after the provincial power department granted 4.19 million kilowatts of power load. However, considering the short period of rainy season, the power supply outlook is still full of uncertainty. As suhc, no massive output is expected in the short term. Sluggish aluminium billet market undermined demand for liquid aluminium, forcing smelters to produce more ingots. Aluminium processing enterprises maintained low operating rates. Many small and medium-sized aluminium processing enterprises took a break during the Dragon Boat Festival. Decline in aluminium ingot social inventory slowed down significantly.