Latest Update in the China Aluminum Market

SMM predicts that the aluminium billet inventory will surge high before falling rapidly, while conversion margins will fluctuate upwards.

SHANGHAI, Jan 28 (SMM) –  The aluminium ingot social inventories across China’s eight major markets stood at 929,000 mt as of January 28, the first day after the week-long Chinese New Year (CNY), an increase of 185,000 mt from pre-CNY level and from a year ago.

The most-traded SHFE 2303 aluminium contract hit 19,500 yuan/mt on January 20, a new high in more than half a year.

Affected by the expectations of improving domestic consumption, both SHFE nickel and LME nickel prices increased before the Chinese New Year holiday. During the CNY holiday, SHFE stopped trading and LME nickel prices fluctuated at a high level within the rage of $28,000-29,800/mt during January 23 to January 27.

SHANGHAI, Jan 28 (SMM) - According to the data released by the General Administration of Customs of China, China's import volume of primary aluminium in December 2022 was about 127,646 mt, of which the import volume under HS code 76011010 was 47.994 mt and that under HS tariff code 76011090 was 127,598 mt.

SMM offices will be closed for the Chinese New Year holiday from January 21 to January 27, 2023.

This is a roundup of China's metals weekly inventory as of January 20.

The following table shows the ferrous and nonferrous metals movement on the SHFE and DCE on January 20, 2023