On March 26, Dianjiang County held a signing event for investment promotion projects in Q1 2026, with a total of 28 projects signed and an agreed amount of 8.12 billion yuan. Among them, the project for the annual production of 50,000 mt of secondary aluminum and aluminum products processing planned to build 10 production lines for aluminum smelting and deep processing. After completion and commissioning, it could achieve an annual output value of 1.25 billion yuan and tax revenue of more than 10 million yuan.

On March 26, a centralized signing ceremony for investment projects in Dianjiang County for the first quarter of 2026 was held. Among the signed projects, a project for the annual production of 50,000 tons of recycled aluminum and aluminum product processing is planned to construct 10 production lines for aluminum smelting and deep processing. After completion and operation, it is expected to achieve an annual output value of 1.25 billion yuan and tax revenue of over 10 million yuan.

Indonesia's aluminum smelting industry is undergoing a massive expansion, with electricity supply emerging as the single most critical factor determining its success. Aluminum production is extremely power-intensive, requiring a steady, high-volume baseload of electricity for the electrolysis process, typically 12-15 MWh per tonne of primary aluminum produced. Any interruptions can halt operations and cause significant losses, making reliable 24/7 power non-negotiable.

Recently, the No. 3 production line of Chalco Green Materials' Zhaotong, Yunnan 400kt aluminum alloy flat ingot project was put into operation, successfully casting a 5.3-meter-long flat ingot. This marks a significant progress in the deep collaboration between green aluminum smelting and high-end material manufacturing within the Chalco Group.

【SMM Aluminium Flash News】According to foreign media reports, Vedanta has announced an investment of over 125 billion rupees to strengthen its metal manufacturing capabilities. This strategic initiative aims to strengthen the domestic supply of key materials necessary for electric vehicle production, meet the needs of India's rapidly growing electric vehicle (EV) industry, and contribute to India's vision of sustainable and clean mobility. The investment involves projects such as expanding aluminum smelting operations, increasing the value-added of aluminum products, building a new zinc alloy plant, installing a zinc roaster, and expanding ferrochrome production capacity. Each initiative is designed to meet the specific material needs of electric vehicle manufacturers. Vedanta supplies key casting alloys for wheels, engine blocks, and cylinder heads, and also produces aluminum billets for battery housings, HVAC systems, and vehicle frames.

SMM May 19 News: Yunnan Aluminum Co., Ltd. recently released its Q1 2025 performance report. According to the announcement, the company achieved a total revenue of 14.411 billion yuan in Q1, up 26.89% YoY. The net profit attributable to shareholders of the publicly listed firm was 974 million yuan, down 16.26% YoY. Regarding the reasons for the company's revenue growth, Yunnan Aluminum stated that it was mainly due to the increase in sales volume and selling prices of aluminum commodities during the reporting period. Meanwhile, the operating costs increased by 33.38% YoY due to the rise in raw material prices and sales volume of aluminum commodities during the reporting period. From the perspective of futures prices, the main SHFE aluminum contract generally fluctuated upward in Q1. As of the close on March 31, 2025, the main SHFE aluminum contract closed at 20,480 yuan/mt, with a quarterly increase of 3.49%. In terms of spot prices, according to SMM spot quotes, the SMMA00 aluminum spot quotes also generally showed an upward trend in Q1. As of March 31, the average spot price of SMMA00 aluminum was reported at 20,560 yuan/mt, up 790 yuan/mt from 19,770 yuan/mt at the end of 2024, representing an increase of approximately 4%. 》Click to view SMM aluminum product spot quotes In late January, coinciding with the Chinese New Year holiday, the unexpected destocking of aluminum ingot inventory in the first two weeks drove aluminum prices to continue to climb, reaching a high of 20,550 yuan/mt during the session on January 20, a new high since December 2024. However, as downstream enterprises took holidays near the end of the year, weakening consumption exerted downward pressure on aluminum prices, which fluctuated downward under pressure. Nevertheless, aluminum prices generally showed an upward trend in January. In February, coinciding with the Chinese New Year holiday, aluminum ingot inventory buildup was slightly higher than the same period in history. However, as downstream enterprises gradually resumed production after the holiday, aluminum prices maintained highs in February despite being in the off-season. By March, the aluminum market entered the traditional peak consumption season, with downstream demand gradually recovering. Coupled with the installation rush stimulated by the new PV policies in the past 1-2 months, aluminum consumption increased, and social inventory showed a destocking trend. Meanwhile, downstream demand also continued to rebound, driving aluminum prices to hold up well in early March. However, in late March, due to poor macro sentiment overseas, funds exited for risk aversion, leading to a decline in the futures market. Nevertheless, from a quarterly perspective, aluminum prices still performed well in Q1. Turning to the current aluminum prices, according to SMM, the recent aluminum market has received support from improved macro environments both domestically and overseas, but bullish and bearish factors are intertwined. On the supply side, domestic aluminum capacity is approaching the ceiling, and the insufficient recovery of hydropower in Yunnan has exacerbated regional supply tightness, limiting the increase in aluminum ingot output. On the cost side, a sudden notice of production suspension was issued for mining areas in Guinea where mining licenses were revoked late last Friday, sparking market concerns about the supply of bauxite raw materials, which may push up alumina costs. However, the specific impact remains to be evaluated. The demand side is under dual pressures from domestic seasonal weakness and trade uncertainties, making significant growth in the short term unlikely. Inventories of aluminum ingots have fallen to a low level compared to the same period last year, and tight spot liquidity is supporting aluminum prices. Overall, favorable macro conditions provide a floor for aluminum prices, and low inventories further strengthen price resilience. However, off-season pressure on the demand side limits upside room. In the short term, attention should be paid to the performance of domestic and overseas demand, as well as the supply situation of bauxite. As of May 19, the spot quote for SMM A00 aluminum remained at 20,220-20,240 yuan/mt, with an average price of 20,230 yuan/mt. Yunnan Aluminum has also been striving to improve the self-sufficiency rate of bauxite. Previously, the company stated that it is enhancing the self-sufficiency rate through the following methods: First, based on current exploration results, bauxite in Yunnan Province is mainly concentrated in areas such as Wenshan and Zhaotong, and the company will increase its efforts in bauxite development in Yunnan Province. Second, focusing on countries in Southeast Asia such as Laos, Indonesia, Vietnam, and Cambodia, the company will accelerate the acquisition of exploration rights for bauxite resources in surrounding areas and resource exploration. Third, the company will expedite the processing of existing exploration-to-mining permits, ensure resource continuity, and safeguard the amount of ore available for mining. Public information shows that during the reporting period, Yunnan Aluminum was mainly engaged in the mining of bauxite, production and sales of alumina, green aluminum, aluminum processing, and carbon materials for aluminum production. Its main products include alumina, prebaked anodes for aluminum production, graphitised cathodes, aluminum ingots for remelting, refined aluminum ingots for remelting, round and flat casting ingots of wrought aluminum and aluminum alloys, cast aluminum alloy ingots, round aluminum rods for electrical purposes, aluminum and aluminum alloy welding materials, etc. Meanwhile, the company actively expands its circular economy businesses, including comprehensive utilization of secondary aluminum, solid waste resources from aluminum production, and aluminum ash. It is worth mentioning that according to the company's 2024 performance report, the company achieved a total revenue of 54.45 billion yuan in 2024, up 27.61% YoY, hitting a record high since its listing. The net profit attributable to shareholders of the publicly listed firm was 4.412 billion yuan, up 11.52% YoY. The company mentioned in its annual report data that it currently has a production capacity of 1.4 million mt of alumina, 3.05 million mt of green aluminum, 1.6 million mt of aluminum alloys and aluminum processing products, and 820,000 mt of carbon products. Throughout 2024, the company actively sought to increase its electricity load, seized opportunities, and achieved rapid production resumptions in aluminum production. It promoted standardized production to enhance operational quality, achieving full coverage of standardized processes across the production lines of aluminum, alumina, and carbon products. The company achieved increased production and efficiency for its main products, producing 1.4088 million mt of alumina, 2.9383 million mt of primary aluminum, up 22.45% YoY, 805,800 mt of carbon products, up 2.85% YoY, and 1.2541 million mt of aluminum alloys and aluminum processing products, up 1.75% YoY. Yunnan Aluminum Co., Ltd. was also asked about the impact of new technologies on the future of the aluminum industry. In response, Yunnan Aluminum Co., Ltd. stated that in recent years, the aluminum smelting technology has developed rapidly, with significant breakthroughs in carbon-free anodes, inert anodes, high-end alloy rail transit, high-purity aluminum, 3C electronics, circular economy, and other areas. The impact on the future of the aluminum industry is mainly reflected in energy conservation and carbon reduction, energy efficiency improvement, cost reduction, industrial upgrading promotion, and green development facilitation. When mentioning the highlights of the company's future performance improvement, Yunnan Aluminum Co., Ltd. indicated that in the future, the company will continue to leverage its comprehensive competitive advantages in the green and low-carbon entire industry chain, continuously optimize the value chain of the green aluminum industry, and further enhance the brand influence and market value of "Green Aluminum • At Yunnan Aluminum". It will strive to build a "benchmark for first-class green aluminum enterprises", reward investors with sound operating performance, and gradually increase the dividend payout ratio as the company's operating performance improves.

According to data from the National Bureau of Statistics (NBS), in April 2025, China's consumer price index (CPI) decreased by 0.1% YoY. Specifically, prices in urban areas remained flat, while those in rural areas decreased by 0.3%. Food prices decreased by 0.2%, while non-food prices remained flat. Prices for consumer goods decreased by 0.3%, while service prices increased by 0.3%. On average from January to April, China's CPI decreased by 0.1% compared to the same period last year. NBS data also showed that in April 2025, China's producer price index (PPI) for industrial products decreased by 2.7% YoY and by 0.4% MoM. The purchase prices for industrial producers decreased by 2.7% YoY and by 0.6% MoM. On average from January to April, both the PPI for industrial products and the purchase prices for industrial producers decreased by 2.4% compared to the same period last year. Dong Lijuan, the chief statistician of the NBS's Urban Department, interpreted the CPI and PPI data for April 2025: In April, the CPI increased by 0.1% MoM, reversing the 0.4% decrease in the previous month, and decreased by 0.1% YoY, with the decline remaining the same as the previous month. The core CPI increased by 0.2% MoM, reversing the flat trend in the previous month, and increased by 0.5% YoY, with the increase remaining stable. The PPI decreased by 0.4% MoM, with the decline remaining the same as the previous month, and decreased by 2.7% YoY, with the decline expanding by 0.2 percentage points compared to the previous month. Although international imported factors have had a certain downward impact on prices in some industries, China's economic foundation is stable and resilient, various macro policies are working in synergy, high-quality development is advancing steadily, and prices in some areas are showing positive changes. In April 2025, China's PPI for industrial products decreased by 2.7% YoY In April 2025, China's PPI for industrial products decreased by 2.7% YoY and by 0.4% MoM. The purchase prices for industrial producers decreased by 2.7% YoY and by 0.6% MoM. On average from January to April, both the PPI for industrial products and the purchase prices for industrial producers decreased by 2.4% compared to the same period last year. I. Year-on-Year Changes in Producer Prices for Industrial Products In April, among the PPI for industrial products, prices for means of production decreased by 3.1%, contributing to a decrease of approximately 2.28 percentage points in the overall level of the PPI for industrial products. Specifically, prices for the mining industry decreased by 9.4%, prices for the raw material industry decreased by 3.6%, and prices for the processing industry decreased by 2.3%. Prices for means of subsistence decreased by 1.6%, contributing to a decrease of approximately 0.40 percentage points in the overall level of the PPI for industrial products. Specifically, food prices decreased by 1.4%, clothing prices decreased by 0.1%, prices for general daily necessities increased by 0.6%, and prices for durable consumer goods decreased by 3.7%. Among the purchase prices of industrial producers, prices for fuel and power fell by 7.7%, prices for ferrous metal materials fell by 6.7%, prices for chemical raw materials fell by 4.1%, prices for agricultural and sideline products fell by 2.9%, prices for textile raw materials fell by 2.3%, and prices for building materials and non-metals fell by 1.4%; prices for non-ferrous metal materials and wires rose by 8.5%. II. Month-over-Month (MoM) Changes in Industrial Producer Prices In April, among the ex-factory prices of industrial producers, prices for means of production fell by 0.5%, contributing to a decrease of approximately 0.37 percentage points in the overall level of ex-factory prices of industrial producers. Specifically, prices for the mining industry fell by 2.1%, prices for the raw material industry fell by 1.0%, and prices for the processing industry fell by 0.2%. Prices for means of subsistence fell by 0.2%, contributing to a decrease of approximately 0.05 percentage points in the overall level of ex-factory prices of industrial producers. Specifically, food prices fell by 0.1%, clothing prices rose by 0.3%, general daily necessities prices rose by 0.2%, and durable consumer goods prices fell by 0.7%. Among the purchase prices of industrial producers, prices for fuel and power fell by 2.3%, prices for chemical raw materials fell by 0.7%, prices for ferrous metal materials fell by 0.6%, prices for building materials and non-metals fell by 0.4%, and prices for agricultural and sideline products and textile raw materials both fell by 0.2%; prices for non-ferrous metal materials and wires rose by 0.7%. In April 2025, the MoM CPI shifted from decline to growth, with core CPI growth remaining stable —Interpretation of CPI and PPI Data for April 2025 by Dong Lijuan, Chief Statistician of the Urban Department, National Bureau of Statistics (NBS) In April, the Consumer Price Index (CPI) shifted from a 0.4% MoM decline in the previous month to a 0.1% MoM increase, with a 0.1% YoY decline, the same as the previous month. The core CPI shifted from flat to a 0.2% MoM increase, with a 0.5% YoY increase, maintaining stable growth. The Producer Price Index (PPI) for industrial producers fell by 0.4% MoM, the same as the previous month, and fell by 2.7% YoY, with the decline expanding by 0.2 percentage points from the previous month. Although international imported factors have had a certain downward impact on prices in some industries, China's economic foundation remains stable and resilient, with various macro policies working in synergy to advance high-quality development, leading to positive changes in prices in some areas. I. The MoM CPI shifted from decline to growth, with a slight YoY decline, and core CPI growth remained stable From a MoM perspective, the CPI shifted from decline to growth, with the increase exceeding the seasonal level by 0.2 percentage points, mainly driven by the rebound in food and travel service prices.Food prices rose 0.2% MoM, 1.4 percentage points higher than the seasonal level. Among them, beef prices increased by 3.9% due to factors such as reduced imports. As some regions entered the marine fishing moratorium period, the prices of marine fish rose by 2.6%. At the initial stage of new fruit availability, the seasonal supply of potatoes and fresh fruits decreased, leading to price increases of 4.7% and 2.2%, respectively. The prices of fresh vegetables and pork fell by 1.8% and 1.6%, respectively, with declines smaller than the seasonal level. Affected by the combined impact of recovering demand and holiday factors, travel service prices rebounded significantly. Prices of air tickets, vehicle rental fees, hotel accommodations, and tourism rose by 13.5%, 7.3%, 4.5%, and 3.1%, respectively, with increases all higher than the seasonal level, collectively contributing to a MoM rise in CPI of approximately 0.10 percentage points. Due to changes in international gold prices, the prices of domestic gold jewelry increased by 10.1%, contributing to a MoM rise in CPI of approximately 0.06 percentage points. On a YoY basis, CPI declined slightly, mainly influenced by the decline in international oil prices. Energy prices fell 4.8% YoY, with the decline expanding by 2.2 percentage points from the previous month. Among them, gasoline prices fell by 10.4%, contributing to a YoY decline in CPI of approximately 0.38 percentage points, which was the main factor driving the YoY decline in CPI. Food prices fell by 0.2%, with the decline narrowing by 1.2 percentage points from the previous month, contributing to a decline in CPI of approximately 0.03 percentage points. Core CPI, excluding food and energy prices, rose by 0.5%, with the increase remaining stable. Among them, service prices rose by 0.3%, with the increase remaining the same as the previous month. Within services, the prices of housekeeping services, elderly care services, and education services rose by 2.5%, 1.4%, and 1.2%, respectively, with overall stable increases. The prices of industrial consumer goods excluding energy rose by 0.4%, contributing to a YoY rise in CPI of approximately 0.10 percentage points. Among them, the prices of gold jewelry rose by 35.8%, with the increase slightly expanding from the previous month. The prices of clothing and communication tools rose by 1.5% and 1.0%, respectively, with increases remaining basically stable. The prices of gasoline-powered passenger cars and new energy passenger cars fell by 4.6% and 3.4%, respectively, with declines both narrowing. II. The MoM decline in PPI remained the same as the previous month, with prices in some industrial sectors continuing to show a stable and improving trend. PPI fell by 0.4% MoM, with the decline remaining the same as the previous month. The main reasons for the decline in PPI this month are as follows: First, international imported factors influenced the downward trend in domestic related industry prices. Changes in the international trade environment led to a rapid decline in the prices of some international bulk commodities, affecting the decline in domestic related industry prices. Among them, the decline in international crude oil prices influenced the MoM decline in domestic oil-related industry prices. The prices of the oil and natural gas extraction industry fell by 3.1%, the prices of refined petroleum product manufacturing fell by 2.5%, and the prices of the chemical raw materials and chemical products manufacturing industry fell by 0.6%. The decline in international prices of non-ferrous metals such as aluminum, zinc, and copper influenced the respective declines of 2.4%, 1.6%, and 0.8% in the prices of domestic aluminum smelting, zinc smelting, and copper smelting.Prices in some export-oriented industries declined on a MoM basis, with the automobile manufacturing industry seeing a 0.5% decrease. The computer, communication, and other electronic equipment manufacturing industry, furniture manufacturing industry, and fabricated metal product industry all experienced a 0.2% decline in prices. Collectively, these 10 industries contributed to an approximate 0.24 percentage point MoM decrease in the Producer Price Index (PPI). Second, domestic energy prices declined seasonally. With the complete conclusion of the northern heating season, coal demand entered the traditional off-season, leading to a 3.3% MoM decrease in both coal mining and washing industry prices and coal processing prices. The low cost and strong substitution effect of new energy power generation, coupled with increased wind power output, resulted in a 0.3% MoM decrease in prices for the electricity, heat production, and supply industry. Collectively, these three industries contributed to an approximate 0.10 percentage point MoM decrease in PPI. China has intensified and expanded its macro policies, such as promoting consumption, accelerating the growth of high-tech industries, increasing demand in some sectors, and showing positive changes in prices in certain fields. First, the supply-demand relationship in some industries has improved, with narrowing price declines. Steady progress in infrastructure construction projects across regions and good implementation of staggered production schedules by cement enterprises have led to a narrowing of the YoY decline in prices for the ferrous metal smelting and rolling processing industry and the non-metallic mineral products industry by 1.4 and 1.0 percentage points, respectively, compared to the previous month. Policies promoting consumption and equipment updates continue to show effects, with increased demand for some consumer goods and equipment manufacturing products driving price rebounds in related industries. The YoY decline in prices for household washing machines narrowed by 0.3 percentage points compared to the previous month, while the YoY decline in prices for the food manufacturing industry and passenger NEVs narrowed by 0.2 percentage points each. The YoY decline in prices for electrical machinery and equipment manufacturing narrowed by 0.7 percentage points, and the YoY decline in prices for agriculture, forestry, animal husbandry, and fishery machinery manufacturing, as well as metal processing machinery manufacturing, narrowed by 0.2 percentage points each. Second, the development of high-tech industries has driven price increases in related sectors. The continuous cultivation and growth of new quality productive forces, along with the deep integration of technological innovation and industrial innovation, have led to YoY price increases in related industries driven by the development of industries such as intelligent manufacturing and high-end equipment manufacturing. Prices for wearable smart device manufacturing increased by 3.0%, aircraft manufacturing prices rose by 1.3%, micro and special motor and component manufacturing prices increased by 1.2%, server prices rose by 1.0%, and ship and related equipment manufacturing prices increased by 0.8%. In addition, China has continued to promote trade diversification, with market expansion driving YoY price increases or narrowing price declines in some export-oriented industries. Prices for integrated circuit packaging and testing series increased by 2.7%, and prices for semiconductor device manufacturing equipment increased by 1.0%. The YoY decline in prices for tractor manufacturing, electronic device manufacturing, and the textile, clothing, and apparel industry narrowed by 1.2, 0.7, and 0.3 percentage points, respectively, compared to the previous month.

According to data from the National Bureau of Statistics (NBS), in April 2025, China's national consumer price index (CPI) decreased by 0.1% YoY. Specifically, prices in urban areas remained flat, while those in rural areas decreased by 0.3%. Food prices decreased by 0.2%, while non-food prices remained flat. Prices for consumer goods decreased by 0.3%, while service prices increased by 0.3%. On average from January to April, the national CPI decreased by 0.1% compared to the same period last year. NBS data also showed that in April 2025, China's national producer ex-factory prices decreased by 2.7% YoY and 0.4% MoM, while producer purchase prices decreased by 2.7% YoY and 0.6% MoM. On average from January to April, both producer ex-factory prices and purchase prices decreased by 2.4% compared to the same period last year. Dong Lijuan, the chief statistician of the NBS's Urban Department, interpreted the CPI and PPI data for April 2025: In April, the CPI MoM turned from a 0.4% decrease in the previous month to a 0.1% increase, with a 0.1% YoY decrease, the same as the previous month. Core CPI MoM turned from flat to an increase of 0.2%, with a 0.5% YoY increase, maintaining a stable growth rate. The producer price index (PPI) MoM decreased by 0.4%, the same as the previous month, with a 2.7% YoY decrease, 0.2 percentage points wider than the previous month. Although international imported factors have had a certain downward impact on prices in some industries, China's economic foundation remains stable and resilient, with various macro policies working in synergy to advance high-quality development, and prices in some areas showing positive changes. In April 2025, China's national CPI decreased by 0.1% YoY. Specifically, prices in urban areas remained flat, while those in rural areas decreased by 0.3%. Food prices decreased by 0.2%, while non-food prices remained flat. Prices for consumer goods decreased by 0.3%, while service prices increased by 0.3%. On average from January to April, the national CPI decreased by 0.1% compared to the same period last year. In April 2025, China's national CPI decreased by 0.1% YoY. In April, China's national CPI increased by 0.1% MoM. Specifically, prices in urban areas increased by 0.2%, while those in rural areas remained flat. Food prices increased by 0.2%, while non-food prices increased by 0.1%. Prices for consumer goods remained flat, while service prices increased by 0.3%. I. Year-on-Year Changes in Prices of Various Goods and Services In April, prices for food, tobacco, and liquor increased by 0.3% YoY, contributing approximately 0.07 percentage points to the CPI increase. Among food items, fresh fruit prices increased by 5.2%, contributing approximately 0.11 percentage points to the CPI increase; aquatic product prices increased by 1.5%, contributing approximately 0.03 percentage points to the CPI increase; meat prices increased by 0.6%, contributing approximately 0.02 percentage points to the CPI increase, with pork prices increasing by 5.0%, contributing approximately 0.06 percentage points to the CPI increase; fresh vegetable prices decreased by 5.0%, contributing approximately 0.10 percentage points to the CPI decrease; and grain prices decreased by 1.4%, contributing approximately 0.02 percentage points to the CPI decrease. Among the other seven major categories, prices increased for six and decreased for one on a YoY basis. Specifically, prices for other goods and services, clothing, and education, culture, and recreation rose by 6.6%, 1.3%, and 0.7%, respectively, while prices for household goods and services, healthcare, and housing increased by 0.2%, 0.2%, and 0.1%, respectively. In contrast, prices for transportation and communication fell by 3.9%. II. Month-on-Month (MoM) Changes in Prices of Various Goods and Services In April, prices for food, tobacco, and liquor increased by 0.2% MoM, contributing approximately 0.05 percentage points to the rise in the Consumer Price Index (CPI). Among food items, fresh fruit prices rose by 2.2%, contributing approximately 0.05 percentage points to the CPI increase; aquatic product prices increased by 1.2%, contributing approximately 0.02 percentage points; fresh vegetable prices fell by 1.8%, contributing approximately 0.04 percentage points to the CPI decrease; pork prices dropped by 1.6%, contributing approximately 0.02 percentage points; and egg prices decreased by 1.0%, contributing approximately 0.01 percentage points to the CPI decrease. Among the other seven major categories, prices increased for three, remained flat for two, and decreased for two on a MoM basis. Specifically, prices for other goods and services, education, culture, and recreation, and healthcare rose by 2.4%, 0.4%, and 0.2%, respectively. Prices for housing and household goods and services remained unchanged, while prices for transportation and communication and clothing fell by 0.3% and 0.1%, respectively. Key Data on Resident Consumption Prices in April 2025 CPI Rebounds MoM in April 2025, While Core CPI Growth Remains Stable —Interpretation of CPI and PPI Data for April 2025 by Dong Lijuan, Chief Statistician of the Urban Department, National Bureau of Statistics (NBS) In April, the Consumer Price Index (CPI) rebounded MoM, rising by 0.1% after a 0.4% decrease in the previous month, and fell by 0.1% YoY, the same rate of decline as the previous month. Core CPI rebounded MoM, rising by 0.2% after remaining flat in the previous month, and increased by 0.5% YoY, maintaining stable growth. The Producer Price Index (PPI) for industrial products fell by 0.4% MoM, the same rate of decline as the previous month, and decreased by 2.7% YoY, with the rate of decline expanding by 0.2 percentage points from the previous month. Despite the downward pressure on prices in some industries due to international input factors, China's economic fundamentals remain stable and resilient. With the coordinated implementation of various macro policies and steady progress in high-quality development, prices in some areas have shown positive changes. I. CPI Rebounds MoM, Falls Slightly YoY, While Core CPI Growth Remains Stable On a MoM basis, the CPI rebounded, with the rate of increase exceeding the seasonal level by 0.2 percentage points, mainly driven by the rebound in food and travel service prices. Food prices increased by 0.2% MoM, exceeding the seasonal level by 1.4 percentage points.Specifically, beef prices rose by 3.9% due to factors such as a decrease in imports. As some regions entered the marine fishing moratorium period, the prices of marine fish increased by 2.6%. During the initial period of new fruit availability, the seasonal supply of potatoes and fresh fruits decreased, leading to price increases of 4.7% and 2.2%, respectively. The prices of fresh vegetables and pork fell by 1.8% and 1.6%, respectively, with the declines being smaller than seasonal trends. Influenced by the combined effects of recovering demand and holiday factors, the prices of travel services rebounded significantly. Airline tickets, vehicle rental fees, hotel accommodation, and tourism prices rose by 13.5%, 7.3%, 4.5%, and 3.1%, respectively, with all increases exceeding seasonal levels, jointly contributing to an approximate 0.10 percentage point increase in the CPI MoM. Due to changes in international gold prices, the prices of domestic gold jewelry increased by 10.1%, contributing to an approximate 0.06 percentage point increase in the CPI MoM. On a YoY basis, the CPI declined slightly, primarily influenced by the downward trend in international oil prices. Energy prices fell by 4.8% YoY, with the decline widening by 2.2 percentage points from the previous month. Among them, gasoline prices dropped by 10.4%, contributing to an approximate 0.38 percentage point decrease in the CPI YoY, which was the main factor driving the YoY decline in the CPI. Food prices decreased by 0.2%, with the decline narrowing by 1.2 percentage points from the previous month, contributing to an approximate 0.03 percentage point decrease in the CPI. The core CPI, excluding food and energy prices, rose by 0.5%, with the increase remaining stable. Among them, service prices increased by 0.3%, with the increase remaining the same as the previous month. Within services, the prices of domestic services, elderly care services, and education services rose by 2.5%, 1.4%, and 1.2%, respectively, with the increases generally stable. The prices of industrial consumer goods excluding energy rose by 0.4%, contributing to an approximate 0.10 percentage point increase in the CPI YoY. Among them, the prices of gold jewelry increased by 35.8%, with the increase slightly widening from the previous month; the prices of clothing and communication tools increased by 1.5% and 1.0%, respectively, with the increases remaining basically stable; the prices of gasoline-powered passenger cars and new energy passenger cars decreased by 4.6% and 3.4%, respectively, with the declines narrowing. II. The MoM decline in PPI remained the same as the previous month, with prices in some industrial sectors continuing to show a stable and improving trend. PPI fell by 0.4% MoM, with the decline remaining the same as the previous month. The main reasons for the decline in PPI this month are as follows: Firstly, international imported factors influenced the downward trend in prices of related domestic industries. Changes in the international trade environment led to a rapid decline in the prices of some international commodities, affecting the price declines in related domestic industries. Among them, the decline in international crude oil prices influenced the MoM decline in prices of domestic petroleum-related industries, with the prices of the oil and natural gas extraction industry falling by 3.1%, the prices of refined petroleum product manufacturing falling by 2.5%, and the prices of the chemical raw materials and chemical products manufacturing industry falling by 0.6%; the decline in international prices of non-ferrous metals such as aluminum, zinc, and copper influenced the respective declines of 2.4%, 1.6%, and 0.8% in the prices of domestic aluminum smelting, zinc smelting, and copper smelting.Prices in some export-oriented industries declined on a MoM basis. The automobile manufacturing industry saw a 0.5% decrease, while the computer, communication, and other electronic equipment manufacturing industry, furniture manufacturing industry, and fabricated metal product industry each experienced a 0.2% decline. Collectively, these 10 industries contributed to an approximate 0.24 percentage point MoM decrease in the Producer Price Index (PPI). Second, domestic energy prices declined seasonally. With the complete conclusion of the northern heating season, coal demand entered the traditional off-season, leading to a 3.3% MoM decrease in both coal mining and washing industry and coal processing prices. The low cost and strong substitution effect of new energy power generation, coupled with increased wind power output, resulted in a 0.3% MoM decrease in prices in the electricity, heat production, and supply industry. Collectively, these three industries contributed to an approximate 0.10 percentage point MoM decrease in PPI. China has intensified and expanded its macro policies, such as promoting consumption, to accelerate the growth of high-tech industries. As a result, demand in some industries has increased, and prices in certain areas have shown positive changes. First, the supply-demand relationship in some industries has improved, with narrowing price declines. Steady progress in infrastructure construction projects across the country and good implementation of staggered production schedules by cement enterprises have led to a narrowing of the YoY decline in prices in the ferrous metal smelting and rolling processing industry and non-metallic mineral products industry by 1.4 and 1.0 percentage points, respectively, compared to the previous month. Policies promoting consumption and equipment renewal continue to take effect, with the release of demand for some consumer goods and equipment manufacturing products driving price rebounds in related industries. The YoY decline in household washing machine prices narrowed by 0.3 percentage points compared to the previous month, while the YoY decline in food manufacturing and passenger NEV prices both narrowed by 0.2 percentage points. The YoY decline in prices for special equipment manufacturing for electrical machinery narrowed by 0.7 percentage points, and the YoY decline in prices for special equipment manufacturing for agriculture, forestry, animal husbandry, and fisheries, as well as metal processing machinery manufacturing, both narrowed by 0.2 percentage points. Second, the development of high-tech industries has driven price increases in related industries. The continuous cultivation and growth of new quality productive forces, along with the deep integration of technological innovation and industrial innovation, have led to YoY price increases in related industries driven by the development of industries such as intelligent manufacturing and high-end equipment manufacturing. The price of wearable smart device manufacturing increased by 3.0%, aircraft manufacturing by 1.3%, micro and special motor and component manufacturing by 1.2%, server manufacturing by 1.0%, and ship and related equipment manufacturing by 0.8%. In addition, China has continued to promote trade diversification, and market expansion has driven YoY price increases or narrowing price declines in some export-oriented industries. The prices of integrated circuit packaging and testing series increased by 2.7%, and the prices of special equipment manufacturing for semiconductor devices increased by 1.0%. The price declines in the tractor manufacturing, electronic device manufacturing, and textile, clothing, and apparel industries narrowed by 1.2, 0.7, and 0.3 percentage points, respectively, compared to the previous month.

According to data from the National Bureau of Statistics (NBS), in April 2025, China's consumer price index (CPI) decreased by 0.1% YoY. Specifically, it remained flat in urban areas and decreased by 0.3% in rural areas. Food prices decreased by 0.2%, while non-food prices remained flat. Consumer goods prices decreased by 0.3%, and service prices increased by 0.3%. On average from January to April, China's CPI decreased by 0.1% compared to the same period last year. NBS data also showed that in April 2025, China's producer price index (PPI) decreased by 2.7% YoY and 0.4% MoM. The prices that industrial producers paid for raw materials decreased by 2.7% YoY and 0.6% MoM. On average from January to April, both the ex-factory prices and the prices that industrial producers paid for raw materials decreased by 2.4% compared to the same period last year. Dong Lijuan, the chief statistician of the NBS's Urban Department, interpreted the CPI and PPI data for April 2025: In April, the CPI increased by 0.1% MoM, reversing the 0.4% decrease in the previous month, and decreased by 0.1% YoY, with the same rate of decrease as the previous month. The core CPI increased by 0.2% MoM, reversing the flat trend in the previous month, and increased by 0.5% YoY, with the rate of increase remaining stable. The PPI decreased by 0.4% MoM, with the same rate of decrease as the previous month, and decreased by 2.7% YoY, with the rate of decrease expanding by 0.2 percentage points from the previous month. Although international imported factors have had a certain downward impact on prices in some industries, China's economic foundation is stable and resilient, various macro policies are working in synergy, high-quality development is advancing steadily, and prices in some areas are showing positive changes. In April 2025, the CPI increased MoM after decreasing, with the core CPI's rate of increase remaining stable ——Dong Lijuan, the chief statistician of the NBS's Urban Department, interprets the CPI and PPI data for April 2025 In April, the CPI increased by 0.1% MoM, reversing the 0.4% decrease in the previous month, and decreased by 0.1% YoY, with the same rate of decrease as the previous month. The core CPI increased by 0.2% MoM, reversing the flat trend in the previous month, and increased by 0.5% YoY, with the rate of increase remaining stable. The PPI decreased by 0.4% MoM, with the same rate of decrease as the previous month, and decreased by 2.7% YoY, with the rate of decrease expanding by 0.2 percentage points from the previous month. Although international imported factors have had a certain downward impact on prices in some industries, China's economic foundation is stable and resilient, various macro policies are working in synergy, high-quality development is advancing steadily, and prices in some areas are showing positive changes. I. The CPI increased MoM after decreasing, with a slight decrease YoY, and the core CPI's rate of increase remained stable From a MoM perspective, the CPI increased after decreasing, with the rate of increase being 0.2 percentage points higher than the seasonal level, mainly driven by the rebound in food and travel service prices.Food prices rose 0.2% MoM, 1.4 percentage points higher than the seasonal level. Among them, beef prices increased by 3.9% due to factors such as reduced imports. As some regions entered the marine fishing moratorium period, the prices of marine fish rose by 2.6%. During the initial stage of new fruit availability, the seasonal supply of potatoes and fresh fruits decreased, leading to price increases of 4.7% and 2.2%, respectively. The prices of fresh vegetables and pork fell by 1.8% and 1.6%, respectively, with declines smaller than the seasonal trend. Affected by the combined impact of recovering demand and holiday factors, the prices of travel services rebounded significantly. Airline tickets, vehicle rental fees, hotel accommodation, and tourism prices rose by 13.5%, 7.3%, 4.5%, and 3.1%, respectively, with increases all higher than the seasonal level, collectively contributing to an approximate 0.10 percentage point increase in CPI MoM. Due to changes in international gold prices, the prices of domestic gold jewelry increased by 10.1%, contributing to an approximate 0.06 percentage point increase in CPI MoM. On a YoY basis, CPI declined slightly, mainly influenced by the decline in international oil prices. Energy prices fell 4.8% YoY, with the decline expanding by 2.2 percentage points from the previous month. Among them, gasoline prices fell by 10.4%, contributing to an approximate 0.38 percentage point decline in CPI YoY, which was the main factor driving the YoY decline in CPI. Food prices fell by 0.2%, with the decline narrowing by 1.2 percentage points from the previous month, contributing to an approximate 0.03 percentage point decline in CPI. Core CPI, excluding food and energy prices, rose by 0.5%, with the increase remaining stable. Among them, service prices rose by 0.3%, with the increase remaining the same as the previous month. Within services, the prices of domestic services, elderly care services, and education services rose by 2.5%, 1.4%, and 1.2%, respectively, with overall stable increases. The prices of industrial consumer goods excluding energy rose by 0.4%, contributing to an approximate 0.10 percentage point increase in CPI YoY. Among them, the prices of gold jewelry rose by 35.8%, with the increase slightly expanding from the previous month. The prices of clothing and communication tools rose by 1.5% and 1.0%, respectively, with increases remaining basically stable. The prices of gasoline-powered passenger cars and new energy passenger cars fell by 4.6% and 3.4%, respectively, with declines both narrowing. II. The MoM decline in PPI was the same as the previous month, with prices in some industrial sectors continuing to show a stable and improving trend. PPI fell by 0.4% MoM, with the decline remaining the same as the previous month. The main reasons for the decline in PPI this month are as follows: First, international imported factors influenced the downward trend in domestic related industry prices. Changes in the international trade environment led to a rapid decline in the prices of some international commodities, affecting the decline in domestic related industry prices. Among them, the decline in international crude oil prices influenced the MoM decline in domestic oil-related industry prices. The prices of the oil and natural gas extraction industry fell by 3.1%, the prices of refined petroleum product manufacturing fell by 2.5%, and the prices of the chemical raw materials and chemical products manufacturing industry fell by 0.6%. The decline in international prices of non-ferrous metals such as aluminum, zinc, and copper influenced the respective declines of 2.4%, 1.6%, and 0.8% in the prices of domestic aluminum smelting, zinc smelting, and copper smelting.Prices in some export-oriented industries declined on a MoM basis. The automobile manufacturing industry saw a 0.5% decrease, while the computer, communication, and other electronic equipment manufacturing, furniture manufacturing, and fabricated metal product industries each experienced a 0.2% decline. Collectively, these ten industries contributed to an approximate 0.24 percentage point MoM decrease in the Producer Price Index (PPI). Second, domestic energy prices declined seasonally. With the complete conclusion of the northern heating season, coal demand entered the traditional off-season, leading to a 3.3% MoM decrease in both coal mining and washing, and coal processing prices. The low cost and strong substitution effect of new energy power generation, coupled with increased wind power output, resulted in a 0.3% MoM decrease in prices for the electricity and heat production and supply industry. Collectively, these three industries contributed to an approximate 0.10 percentage point MoM decrease in PPI. China has intensified and expanded its macro policies to promote consumption, accelerating the growth of high-tech industries, increasing demand in some sectors, and leading to positive price changes in certain fields. First, the supply-demand relationship in some industries has improved, narrowing the price decline. With the steady progress of infrastructure construction projects across the country and the effective implementation of staggered production schedules by cement enterprises, the YoY decline in prices for the ferrous metal smelting and rolling processing industry, and the non-metallic mineral products industry narrowed by 1.4 and 1.0 percentage points, respectively, compared to the previous month. Policies promoting consumption and equipment renewal continued to show effects, with the release of demand for some consumer goods and equipment manufacturing products driving price rebounds in related industries. The YoY decline in prices for household washing machines narrowed by 0.3 percentage points compared to the previous month, while the YoY decline in prices for the food manufacturing industry and passenger NEVs narrowed by 0.2 percentage points each. The YoY decline in prices for electrical machinery and equipment manufacturing narrowed by 0.7 percentage points, and the YoY decline in prices for agriculture, forestry, animal husbandry, and fishery machinery manufacturing, as well as metal processing machinery manufacturing, narrowed by 0.2 percentage points each. Second, the development of high-tech industries has driven price increases in related sectors. The continuous cultivation and growth of new quality productive forces, along with the deep integration of technological innovation and industrial innovation, have led to YoY price increases in related industries driven by the development of industries such as intelligent manufacturing and high-end equipment manufacturing. Prices for wearable smart device manufacturing increased by 3.0%, aircraft manufacturing by 1.3%, micro and special motor and component manufacturing by 1.2%, server manufacturing by 1.0%, and ship and related equipment manufacturing by 0.8%. In addition, China has continued to promote trade diversification, with market expansion driving YoY price increases or narrowing price declines in some export-oriented industries. Prices for integrated circuit packaging and testing series increased by 2.7%, and prices for semiconductor device manufacturing equipment increased by 1.0%. The YoY decline in prices for tractor manufacturing, electronic device manufacturing, and the textile, clothing, and apparel industry narrowed by 1.2, 0.7, and 0.3 percentage points, respectively, compared to the previous month.

[SMM Weekly Aluminum Price Review: Bearish Capital Inflow Drives SHFE Aluminum Downward, Short-Term Destocking May Support Prices] Overall, on the macro side, it still takes time for the transmission of domestic favorable policies, and there is no conclusion to the tariff war yet, so the bearish impact persists. On the fundamental side, the destocking of domestic aluminum ingot inventory provides support for aluminum prices, but the expected weakening of demand and the weakening of aluminum production costs both provide support for bears. With bears entering the market, the futures market declines. Amidst the interplay of bullish and bearish factors, it is expected that domestic aluminum prices will fluctuate considerably in the short term. Next week, the most-traded SHFE aluminum contract is expected to trade around 19,300-19,800 yuan/mt, while LME aluminum is expected to trade around $2,370-$2,400/mt.