SMM

[SMM Analysis: Impact of Chinese New Year and Weak Demand - How Did Domestic Primary Aluminum Billet Production Perform at the Start of the Year?] Comprehensive Production Cuts! Affected by the combined impact of multiple factors during the Chinese New Year holiday, domestic primary aluminum billet production in January 2025 plummeted by over 100,000 mt, with the decline exceeding expectations. January and February are traditionally the off-season for the primary aluminum billet industry. During the Chinese New Year holiday, factors such as employees returning to their hometowns, downstream shutdowns, and annual equipment maintenance have led to widespread production cuts or partial shutdowns among aluminum billet enterprises, which was anticipated. However, due to strong aluminum prices during the month and the influence of multiple factors, downstream operations halted slightly earlier this year, extending the vacuum period on the demand side for aluminum billets. To avoid excessive in-plant inventory causing financial and sales pressure, aluminum billet enterprises showed a relatively low willingness to produce during the Chinese New Year holiday. The daily average production of domestic primary aluminum billets decreased by 4,000 mt MoM to around 43,000 mt/day...